Microsoft Overtakes Nvidia as Jensen Huang Affair Probe Threatens $470 Billion Market Value Loss

Microsoft briefly overtook Nvidia during trading on Tuesday, 10 November, to become the world's second-most valuable publicly traded company. The shift followed a sharp fall in Nvidia shares amid reports about chief executive Jensen Huang's relationship with a Chinese businesswoman and an investigation into whether he had been targeted by a foreign intelligence operation.

Nvidia shares fell more than 6% on Tuesday, extending a 4.3% decline on Monday. The losses put the chipmaker on course to shed more than $470 billion (€419 billion and £350 billion) in market value over two sessions, Reuters reported. That figure was a projection, not a confirmed final loss. Microsoft shares slipped 0.4% to $543.25, while Nvidia traded at about $167.11. According to Reuters, it was the first time Microsoft had ranked ahead of Nvidia since June 2025.

Reports Link Huang To Chinese Businesswoman

The Information reported that Huang had a relationship with Alice Huang, who is not related to the Nvidia chief. Citing two people familiar with her, the publication said the relationship helped facilitate at least $7.5 billion (€6.7 billion and £5.6 billion) in Nvidia chip shipments to Chinese companies.

According to The Information, Alice Huang, her husband and her sister built a network of businesses across China and Singapore. One company named in the report was Shanghai Century Litong, which reportedly gained preferred cloud partner status with Nvidia in 2023, giving it priority access to processors.

The publication alleged that the network helped move about 240,000 Nvidia processors into China, including H100 and H200 chips and some A100 models. It said the hardware was obtained after orders affected by US export restrictions stalled. Some computing capacity was reportedly leased to Chinese companies, including Alibaba, Tencent and smaller artificial intelligence laboratories.

The Information also reported that Alice Huang held a senior position at Singapore-based Megaspeed. US authorities investigated the company over suspected chip transfers to China, according to the publication. Reuters reported that there had been no public finding that Megaspeed violated US export-control rules.

Huang told Nvidia employees that he had been unfaithful to his wife, Reuters reported. He did not provide details of the relationship. His admission does not independently confirm the identity of the person involved or the allegations concerning chip shipments.

Nvidia Board Orders Independent Review

Nvidia's board announced an independent investigation on 8 November after reports that Huang had been targeted by a foreign intelligence effort. A committee of independent directors, supported by outside legal counsel, will oversee the review.

The board said it had 'no reason to believe' that national security or Nvidia's confidential information had been compromised. It added that Huang supported the investigation and had agreed to co-operate, while reiterating its confidence in him and his leadership team.

Reuters separately reported that the FBI was examining whether Huang had been targeted by a foreign intelligence operation. On 10 November, Nvidia's independent directors appointed former acting US attorney Joon H. Kim and law firm Wachtell, Lipton, Rosen & Katz to conduct the review.

The allegations about chip shipments have not been independently established. The board's announced review concerns the reported foreign intelligence effort; it has not publicly confirmed the allegations concerning the shipments. The available reporting also does not establish that Huang knowingly participated in an export-control violation. The board has not announced when the investigation is expected to finish.