Don’t just treat this Huang situation as gossip. 🧐 On the surface, it’s about an affair and an apology, with the board launching an investigation. But the more I look into it, the clearer it becomes—this isn’t about personal morality at all. The underlying power struggle is far more intense than any tabloid story. Let’s start with the facts: • Huang sent an internal email admitting to infidelity toward his wife. • The other party is a former executive at Megaspeed; U.S. intelligence agencies suspect she was recruited by Chinese entities. • The board has formed an independent committee and hired external counsel to investigate. • Three congressional committees have demanded he provide a closed-door briefing on November 18. • The board specifically emphasized: there is currently no evidence of classified information being leaked. Now ask yourself: if there’s no evidence, why is this blowing up so big? Here’s my take, in layers: 1️⃣ First, destroy his credibility—then take away his power. Think about it: personal misconduct is the most effective way to silence someone. Huang himself admitted fault—so now he has zero leverage in any future negotiations. All they need to do is label him a “potential espionage risk,” and they don’t even need proof. 2️⃣ The real target? U.S. policy on chip exports to China. Don’t forget: over the past two years, Huang’s top priority has been pushing the U.S. to relax restrictions on advanced chip exports to China. He’s been lobbying hard, insisting that “China’s market can’t be abandoned.” Now, with a label like “possibly targeted by Chinese intelligence” attached to him, who’s going to listen when he pushes for export liberalization? Everything he says will be viewed with suspicion. This move effectively removes him from the policy negotiation table. 3️⃣ NVIDIA is too big—so big it keeps Washington up at night. • Market cap nearly hit $5.8 trillion in October. • Recently dropped below $5 trillion. • No succession plan. No clear successor. • The entire company runs on Huang’s personal authority. A $5 trillion company, entirely dependent on one person’s decisions—how could Washington possibly feel comfortable? This investigation is almost certainly an attempt to reshape governance: bring in more board members with political ties, and make NVIDIA more controllable. 4️⃣ The timing is no coincidence. NVIDIA’s earnings report drops on the 17th, and markets are already worried about an AI bubble. Releasing this news now amplifies emotional and valuation pressures. It’s entirely plausible someone wants to use this moment to exert pressure. So what’s Huang likely to do next? I predict three steps: • Short-term: Apologize and cooperate—frame it strictly as a personal morality issue, and fiercely avoid any link to national security. • Medium-term: Cede some power, bring in more independent directors, proactively accept oversight—in exchange for keeping his CEO position. • Long-term: His China strategy will become increasingly cautious, and his alignment with the U.S. camp will grow more explicit. To be honest, the biggest impact of this isn’t about Huang personally—it’s about the future of the AI industry. The middle ground is shrinking. NVIDIA is being forced into the U.S. camp, while China will only double down on building its own domestic computing capabilities. Of course, the investigation hasn’t concluded, and there’s still no evidence of classified data leaks—so let’s not turn speculation into fact. But from the perspectives of capital and politics, this power play is anything but simple. For U.S. investors, two key dates are coming: NVIDIA’s earnings report on the 17th and the congressional briefing on the 18th. Stay alert, manage your risk, and control your positions. All of the above is purely my personal opinion. DYOR 🙏