Nvidia's board of directors has reportedly discussed the possibility of removing co-founder and Chief Executive Officer Jensen Huang following reports about his alleged personal relationships and concerns linked to national security.

According to a report published by The Wall Street Journal on Wednesday, the company's board was preparing to meet to discuss Huang's future. Reuters, citing a source familiar with the matter, also reported that a board meeting took place late Wednesday. However, as of Thursday morning, Nvidia had made no official announcement confirming Huang's removal or departure.

Amid the controversy, Nvidia's share price fell nearly 8% in after-hours trading on Wednesday, according to Reuters. With a market capitalisation exceeding US$400 billion, any leadership change at the company could have significant implications for the global artificial intelligence (AI) industry.

The controversy reportedly began following revelations about Huang's alleged relationship with Alice Huang, a former executive at Singapore-based data centre company Megaspeed. According to The New York Times, US intelligence officials suspect Alice of working for China's intelligence services. Megaspeed has purchased Nvidia chips and is also being investigated over possible assistance in sending advanced AI chips to China in violation of US export restrictions.

In a message sent to employees on Sunday, Jensen acknowledged being unfaithful to his wife and apologised to her and his children. However, he did not disclose further details about the relationship. China has rejected the US espionage allegations, describing them as baseless.

Meanwhile, The New York Times published another report alleging that Huang had an extramarital relationship with Kimberly Powell, Nvidia's vice president of healthcare, who works under him. The newspaper cited five former and current company employees regarding the alleged relationship. It also reported claims of a video showing the two together at a hotel during a company conference in San Jose, although the newspaper said it had not independently viewed the footage. Huang declined to speak directly with reporters, while Nvidia and Powell did not immediately comment.

Following these developments, Nvidia's board announced an independent investigation on Sunday and appointed an external law firm to lead the process. The board had previously stated that there was no basis to believe that the company's national security or confidential information had been compromised.

US President Donald Trump has expressed support for Huang. Trump said he spoke with Huang by phone on Monday and that Huang told him he was unaware that Alice was allegedly a spy. Trump said he believed Huang and expressed confidence that the CEO would overcome the situation, while also noting that the FBI was examining the matter. However, The Washington Post reported that the White House had not intervened in the board's leadership decision.

According to Reuters, if Huang is removed, Chief Financial Officer Colette Kress could temporarily take over as CEO. Co-founder Chris Malachowsky has also been mentioned as a possible alternative. However, the company has not announced a clear long-term succession plan.

Founded in 1993, Nvidia has grown from a gaming chip manufacturer into the world's leading supplier of AI chips, a transformation widely credited to 63-year-old Huang. He owns approximately 3.6% of the company. The leadership controversy has drawn attention from investors and the technology market as Nvidia prepares to release its quarterly financial results on November 17.