Nvidia’s stock reportedly dropped almost 7.5% in after-hours trading as its board considered Jensen Huang’s future as chief executive.
Nvidia shares reportedly fell almost 7.5% in after-hours trading as the company’s board considered chief executive Jensen Huang’s future. The reported discussions put the leadership of a major artificial intelligence chip supplier under scrutiny.
The decline followed a positive close during regular Wall Street trading on Wednesday, November 12. However, the sharp reversal extended a difficult period for the US chipmaker’s stock.
The board was reportedly meeting to assess Huang’s continued leadership. Nvidia had also reportedly hired a major law firm to conduct an investigation involving its chief executive.
Nvidia shares face an AI industry backdrop
Nvidia supplies advanced computer chips for video games, autonomous vehicles, data centres and cloud servers. Its processors also power artificial intelligence tools, including large language models and generative AI systems.
That role places the company at the centre of competition between the United States and China. Both countries are competing to develop increasingly powerful AI systems.
Meanwhile, Washington has restricted exports of Nvidia’s most advanced chips to China since 2022. US officials have justified those controls on national security grounds, arguing that the technology could strengthen China’s military capabilities.
However, some restrictions have eased under President Donald Trump. The export rules affect access to chips that support advanced AI development.
