Axios: Jensen’s blast radius

Posted on November 12, 2026 by michelleclarke2015
Jensen’s blast radius
 
Photo illustration of Jensen Huang next to the Nvidia logo featuring a pupil and a raised eyebrow
Photo illustration: Sarah Grillo/Axios. Photo: David Paul Morris/Bloomberg via Getty Images
 
Jensen Huang’s potential ouster from Nvidia leaves a blast radius far beyond the chip giant that’s the backbone of the global AI economy:

The scandal will consume the new Congress, could take out Commerce Secretary Howard Lutnick, goes all the way up to President Trump, and undermines U.S.-China relations on the eve of Trump’s trip to Shenzhen for a summit next week and Xi Jinping’s visit to Florida for a summit next month.

Why it matters: Nvidia’s chips, investments and financial guarantees sustain an ecosystem of companies worth trillions of dollars, Axios’ Zachary Basu writes.

At the epicenter of the blast is Huang, who spent 33 years making himself synonymous with Nvidia — and Nvidia synonymous with the AI revolution.

“This is no ordinary CEO. This is no ordinary company. This is no ordinary sector. This is no ordinary time,” economist Mohamed El-Erian wrote on X, warning of contagion across the AI industry

🔎 Zoom in: As recently as two weeks ago, the notion of Nvidia without Jensen was unthinkable.

Even after his affair with a suspected Chinese spy came to light, Trump and Nvidia’s board stood behind him, Silicon Valley’s elite rallied to his defense and betting markets suggested he would survive.

A New York Times revelation yesterday that Huang had a second affair as recently as March — this time with an Nvidia executive who reports to him — shattered that consensus of support and put his storied reign in jeopardy.

Driving the news: After that second affair came to light last night, Nvidia’s board reportedly met to settle Huang’s fate, though there was still no decision as of early this morning. The White House was read in.

The market reaction has been brutal. Nvidia had already shed more than $1 trillion in market value since the initial scandal erupted, and shares plunged further in after-hours and pre-market trading.One of Wall Street’s most prominent voices on tech, analyst Dan Ives, said Nvidia was worth 25% less without Huang.Nvidia share priceData: FactSet. Chart: Matt Phillips/Axios

Zoom out: Huang’s rise was the stuff of Silicon Valley legend: The Taiwanese immigrant went from cleaning toilets at a Kentucky boarding school and waiting tables at Denny’s to building one of the most valuable companies in history.

Huang and two fellow engineers hatched the idea for Nvidia at a Denny’s booth in 1993, launching a chipmaker that would revolutionize gaming, transform modern computing and ultimately power the AI revolution.

Clad in his trademark black leather jacket, Huang became a global AI rock star — with a cult of personality that drew adoring crowds, calmed markets and commanded the attention of world leaders.

🖼️ The big picture: Huang’s crisis comes amid mounting anxiety over the AI industry’s future, as new financial, political and regulatory risks threaten one of the largest infrastructure buildouts in history.

The timing is especially fraught for Anthropic, whose historic IPO — backed by a $10 billion commitment from Nvidia — looms as a referendum on Wall Street’s faith in the AI trade.

Huang spent years defending the industry’s soaring valuations and dismissing warnings of a speculative frenzy. Now his own scandals could help burst the bubble he insisted didn’t exist

👀 What to watch: The blast radius could extend far beyond Silicon Valley and Wall Street, threatening to engulf the Trump administration in a scandal over its handling of sensitive technology exports to China.

Huang forged a close alliance with Trump and Commerce Secretary Howard Lutnick, who loosened restrictions on chip sales even as other officials raised concerns about Chinese espionage and smuggling.

Two top Senate Democrats, Sens. Elizabeth Warren of Massachusetts and Chris Coons of Delaware, demanded yesterday that Lutnick and other top Trump officials preserve records of their dealings with Nvidia and Huang.

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About michelleclarke2015

Life event that changes all: Horse riding accident in Zimbabwe in 1993, a fractured skull et al including bipolar anxiety, chronic fatigue …. co-morbidities (Nietzche 'He who has the reason why can deal with any how' details my health history from 1993 to date). 17th 2017 August operation for breast cancer (no indications just an appointment came from BreastCheck through the Post). Trinity College Dublin Business Economics and Social Studies (but no degree) 1997-2003; UCD 1997/1998 night classes) essays, projects, writings. Trinity Horizon Programme 1997/98 (Centre for Women Studies Trinity College Dublin/St. Patrick's Foundation (Professor McKeon) EU Horizon funded: research study of 15 women (I was one of this group and it became the cornerstone of my journey to now 2017) over 9 mth period diagnosed with depression and their reintegration into society, with special emphasis on work, arts, further education; Notes from time at Trinity Horizon Project 1997/98; Articles written for Irishhealth.com 2003/2004; St Patricks Foundation monthly lecture notes for a specific period in time; Selection of Poetry including poems written by people I know; Quotations 1998-2017; other writings mainly with theme of social justice under the heading Citizen Journalism Ireland. Letters written to friends about life in Zimbabwe; Family history including Michael Comyn KC, my grandfather, my grandmother's family, the O'Donnellan ffrench Blake-Forsters; Moral wrong: An acrimonious divorce but the real injustice was the Catholic Church granting an annulment – you can read it and make your own judgment, I have mine. Topics I have written about include annual Brain Awareness week, Mashonaland Irish Associataion in Zimbabwe, Suicide (a life sentence to those left behind); Nostalgia: Tara Hill, Co. Meath.
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