US-listed neocloud stocks came under heavy selling pressure on Thursday after reports that Jensen Huang had resigned as Nvidia’s chief executive. Nebius Group led the decline, with its shares falling more than 16%, while CoreWeave, IREN and other AI infrastructure companies also traded lower.&nbsp;The sell-off highlights the close relationship between Nvidia and the growing neocloud industry. These companies provide computing power for artificial intelligence workloads and depend heavily on Nvidia’s graphics processing units (GPUs).<h2>Nebius leads losses as AI infrastructure stocks fall</h2>Nebius Group recorded the steepest decline among the companies listed in the supplied market data. Its shares fell 16.25% to $129.56 on the Nasdaq.&nbsp;The fall came despite the company reporting third-quarter results above analysts’ expectations. However, its forward guidance disappointed investors, adding pressure to the stock.&nbsp;CoreWeave shares dropped 7.40% to $56.28, while IREN declined 7.05% to $19.37.&nbsp;Other companies also moved lower. Applied Digital fell 4.97% to $17.02, Core Scientific slipped 3.91% to $14, and Cipher Digital lost 2.04% to $6.96. TeraWulf edged down 1.65% to $13.14. The Roundhill Neocloud ETF, which tracks companies in the sector, fell 8.90% to $14.53.<h2>Why Nvidia matters to neocloud companies</h2>Neocloud providers offer specialised computing infrastructure for businesses developing and running AI models. Their services include access to powerful GPUs, data centre capacity and cloud computing resources.&nbsp;Nvidia is a major supplier of the chips used to power these workloads. This makes companies that build their businesses around Nvidia hardware particularly sensitive to developments at the chipmaker. A change in Nvidia’s leadership could therefore raise questions among investors about its future strategy, product roadmap and relationships with customers and infrastructure partners. However, the share-price declines do not establish that Nvidia’s chip supply or commercial relationships with these companies have changed.<h2>Nvidia leadership change puts AI sector under scrutiny</h2>Huang co-founded Nvidia in 1993 and had served as its only chief executive. Under his leadership, the company became one of the central players in the global AI industry. The announcement also raised questions about who would lead Nvidia next and whether Huang would retain any association with the company after stepping down as CEO and board member.&nbsp;The company’s board thanked him for his contributions, describing them as "profound". The pressure was not limited to neocloud companies. Semiconductor firms Micron Technology and Marvell Technology also came under pressure, alongside AI infrastructure and power equipment companies Vertiv Holdings and Bloom Energy. Nvidia rivals Advanced Micro Devices and Broadcom, however, gained. For investors, the wider question is whether the sell-off reflects short-term uncertainty over Nvidia’s leadership or concerns about the future of the AI infrastructure market.

Nebius, CoreWeave and other US neocloud stocks fell sharply after reports of Jensen Huang’s departure from Nvidia. The sell-off highlights how closely AI infrastructure companies depend on Nvidia’s chips and leadership.

US-listed neocloud stocks came under heavy selling pressure on Thursday after reports that Jensen Huang had resigned as Nvidia’s chief executive. Nebius Group led the decline, with its shares falling more than 16%, while CoreWeave, IREN and other AI infrastructure companies also traded lower. The sell-off highlights the close relationship between Nvidia and the growing neocloud industry. These companies provide computing power for artificial intelligence workloads and depend heavily on Nvidia’s graphics processing units (GPUs). Nebius leads losses as AI infrastructure stocks fall Nebius Group recorded the steepest decline among the companies listed in the supplied market data. Its shares fell 16.25% to $129.56 on the Nasdaq. The fall came despite the company reporting third-quarter results above analysts’ expectations. However, its forward guidance disappointed investors, adding pressure to the stock. CoreWeave shares dropped 7.40% to $56.28, while IREN declined 7.05% to $19.37. Other companies also moved lower. Applied Digital fell 4.97% to $17.02, Core Scientific slipped 3.91% to $14, and Cipher Digital lost 2.04% to $6.96. TeraWulf edged down 1.65% to $13.14. The Roundhill Neocloud ETF, which tracks companies in the sector, fell 8.90% to $14.53. Why Nvidia matters to neocloud companies Neocloud providers offer specialised computing infrastructure for businesses developing and running AI models. Their services include access to powerful GPUs, data centre capacity and cloud computing resources. Nvidia is a major supplier of the chips used to power these workloads. This makes companies that build their businesses around Nvidia hardware particularly sensitive to developments at the chipmaker. A change in Nvidia’s leadership could therefore raise questions among investors about its future strategy, product roadmap and relationships with customers and infrastructure partners. However, the share-price declines do not establish that Nvidia’s chip supply or commercial relationships with these companies have changed. Nvidia leadership change puts AI sector under scrutiny Huang co-founded Nvidia in 1993 and had served as its only chief executive. Under his leadership, the company became one of the central players in the global AI industry. The announcement also raised questions about who would lead Nvidia next and whether Huang would retain any association with the company after stepping down as CEO and board member. The company’s board thanked him for his contributions, describing them as "profound". The pressure was not limited to neocloud companies. Semiconductor firms Micron Technology and Marvell Technology also came under pressure, alongside AI infrastructure and power equipment companies Vertiv Holdings and Bloom Energy. Nvidia rivals Advanced Micro Devices and Broadcom, however, gained. For investors, the wider question is whether the sell-off reflects short-term uncertainty over Nvidia’s leadership or concerns about the future of the AI infrastructure market.

Nebius, CoreWeave and other US neocloud stocks fell sharply after reports of Jensen Huang’s departure from Nvidia. The sell-off highlights how closely AI infrastructure companies depend on Nvidia’s chips and leadership.

From Nebius to CoreWeave: Nvidia CEO's exit sparks sell-off across AI cloud stocks

Months before Nvidia CEO Jensen Huang admitted to an extramarital affair with an alleged Chinese spy, an activist short-selling firm had bet against Nvidia stock over his China links. But 31-year-old Christian Matthew Lamarco, founder of Culper Research, was not the only one outside official circles with such suspicions.<h2>Who is Christian Lamarco, who shorted Nvidia stock before Jensen Huang scandal?</h2>Lamarco, the son of a pastor, founded Culper Research in 2019. The small New York-based firm investigates companies it believes have misrepresented their operations, risks, capital use or accounting. It is named after the Culper Spy Ring, George Washington's intelligence network during the American Revolutionary War. Lamarco has likened short-selling research to spycraft. Several of Culper's targets, including LifeMD and Tecnoglass, have sued Lamarco for defamation.<a href="https://www.wionews.com/videos/nvidia-ceo-jensen-huang-faces-questions-over-china-links-1794280473077/embed">https://www.wionews.com/videos/nvidia-ceo-jensen-huang-faces-questions-over-china-links-1794280473077/embed</a><h2>What did Culper allege about Nvidia, Jensen Huang and Alice Huang?</h2>On 13 May 2026, when Nvidia stock was near record highs as the world's most valuable company, Culper published a 40-page report titled "NVIDIA (NVDA): The China Problem" and disclosed a short position on the stock. "We are short Nvidia for one reason: the Company has a significant China problem," it said.Nvidia had said its China business fell to zero after US AI chip export restrictions in April 2025. But Culper argued that more than 20 per cent of Nvidia's fiscal 2026 compute revenue was still driven by China through illegal GPU diversion and South-east Asian intermediaries.That's where report focused on Singapore-based Megaspeed, where Alice Huang, with whom Jensen had the extramarital affair, worked.Culper said Megaspeed was Nvidia's largest chip buyer in the region. Megaspeed was already under scrutiny from the US Commerce Department and Singapore authorities over possible diversion. Citing Singapore filings, Culper alleged that Chinese tech giant Alibaba had effectively financed Megaspeed's chip purchases through intermediary structures. It also questioned Megaspeed's finances, noting that its assets had ballooned within a year, largely through deposits from undisclosed sources.Also read: <a href="https://www.wionews.com/world/nvidia-ceo-jensen-huang-faces-lawsuit-from-shareholders-amid-investigation-into-alleged-chinese-spy-links-1794295915425">Nvidia CEO Jensen Huang faces lawsuit from shareholders amid investigation into alleged Chinese spy links</a>&nbsp;The report then focused on Alice Huang. It described an "uncomfortably close relationship" between Jensen Huang and Alice Huang, a Chinese national and Megaspeed executive.Culper cited their socialising in Taipei in June 2024, around the time of Megaspeed's Alibaba-linked dealings, a May 2025 dinner in Taipei shortly after US export curbs, photographs of the pair and employee comments about a possible "special relationship".It said Huang had "walked alongside Megaspeed at every step", but stopped short of alleging an affair or espionage.Lamarco has since suggested Megaspeed is not the only South-east Asian company helping China access Nvidia chips.&nbsp; Nvidia has said the diversion allegations against Megaspeed were investigated and debunked, and Beijing has dismissed the spying claims as baseless.Also read: <a href="https://www.wionews.com/world/was-lutnick-warned-about-nvidia-ceo-s-alleged-affair-with-chinese-spy-what-we-know-1794376629366">Was Lutnick warned about Nvidia CEO’s Jensen Huang alleged affair with Chinese spy? What we know</a><h2>The Alice- Jensen affair: Who else saw the ‘swallow’ coming?</h2>There was at least one person outside of official circles who saw this coming, much before even Culper Research. &nbsp; On 10 October 2025, seven months before Culper's report, X user Byron Wan (@Byron_Wan) posted a thread on Megaspeed's structure, its chip purchases and Alice Huang's proximity to Jensen Huang.He highlighted the June 2024 evening at a Taipei bar where she sat beside the Nvidia CEO as he held court with major Asian customers.In a follow-up post that day, he asked outright whether Alice Huang was a "swallow" working for the Chinese Communist Party. "Swallow" is Chinese slang for a female agent used in honeytrap espionage.Wan also noted that Megaspeed was a spin-off of Chinese firm 7Road, which has state links, that it had bought Nvidia chips in large volumes, and that Alice Huang had worked as a TV reporter for Chinese state media and as a private banker.When The New York Times reported on 29 October 2026 that US officials considered Alice Huang a Chinese intelligence asset close to Jensen Huang, Wan reposted his thread, saying he had called it a year earlier.

Months before Jensen Huang admitted to an affair with alleged Chinese spy Alice Huang, short seller Culper Research flagged his ‘uncomfortably close’ ties to her and to Megaspeed, where she worked. At least one other person had raised similar concerns much earlier.



Months before Nvidia CEO Jensen Huang admitted to an extramarital affair with an alleged Chinese spy, an activist short-selling firm had bet against Nvidia stock over his China links. But 31-year-old Christian Matthew Lamarco, founder of Culper Research, was not the only one outside official circles with such suspicions. Who is Christian Lamarco, who shorted Nvidia stock before Jensen Huang scandal? Lamarco, the son of a pastor, founded Culper Research in 2019. The small New York-based firm investigates companies it believes have misrepresented their operations, risks, capital use or accounting. It is named after the Culper Spy Ring, George Washington's intelligence network during the American Revolutionary War. Lamarco has likened short-selling research to spycraft. Several of Culper's targets, including LifeMD and Tecnoglass, have sued Lamarco for defamation. https://www.wionews.com/videos/nvidia-ceo-jensen-huang-faces-questions-over-china-links-1794280473077/embed What did Culper allege about Nvidia, Jensen Huang and Alice Huang? On 13 May 2026, when Nvidia stock was near record highs as the world's most valuable company, Culper published a 40-page report titled "NVIDIA (NVDA): The China Problem" and disclosed a short position on the stock. "We are short Nvidia for one reason: the Company has a significant China problem," it said. Nvidia had said its China business fell to zero after US AI chip export restrictions in April 2025. But Culper argued that more than 20 per cent of Nvidia's fiscal 2026 compute revenue was still driven by China through illegal GPU diversion and South-east Asian intermediaries. That's where report focused on Singapore-based Megaspeed, where Alice Huang, with whom Jensen had the extramarital affair, worked. Culper said Megaspeed was Nvidia's largest chip buyer in the region. Megaspeed was already under scrutiny from the US Commerce Department and Singapore authorities over possible diversion. Citing Singapore filings, Culper alleged that Chinese tech giant Alibaba had effectively financed Megaspeed's chip purchases through intermediary structures. It also questioned Megaspeed's finances, noting that its assets had ballooned within a year, largely through deposits from undisclosed sources. Also read: Nvidia CEO Jensen Huang faces lawsuit from shareholders amid investigation into alleged Chinese spy links The report then focused on Alice Huang. It described an "uncomfortably close relationship" between Jensen Huang and Alice Huang, a Chinese national and Megaspeed executive. Culper cited their socialising in Taipei in June 2024, around the time of Megaspeed's Alibaba-linked dealings, a May 2025 dinner in Taipei shortly after US export curbs, photographs of the pair and employee comments about a possible "special relationship". It said Huang had "walked alongside Megaspeed at every step", but stopped short of alleging an affair or espionage. Lamarco has since suggested Megaspeed is not the only South-east Asian company helping China access Nvidia chips. Nvidia has said the diversion allegations against Megaspeed were investigated and debunked, and Beijing has dismissed the spying claims as baseless. Also read: Was Lutnick warned about Nvidia CEO’s Jensen Huang alleged affair with Chinese spy? What we know The Alice- Jensen affair: Who else saw the ‘swallow’ coming? There was at least one person outside of official circles who saw this coming, much before even Culper Research. On 10 October 2025, seven months before Culper's report, X user Byron Wan (@Byron_Wan) posted a thread on Megaspeed's structure, its chip purchases and Alice Huang's proximity to Jensen Huang. He highlighted the June 2024 evening at a Taipei bar where she sat beside the Nvidia CEO as he held court with major Asian customers. In a follow-up post that day, he asked outright whether Alice Huang was a "swallow" working for the Chinese Communist Party. "Swallow" is Chinese slang for a female agent used in honeytrap espionage. Wan also noted that Megaspeed was a spin-off of Chinese firm 7Road, which has state links, that it had bought Nvidia chips in large volumes, and that Alice Huang had worked as a TV reporter for Chinese state media and as a private banker. When The New York Times reported on 29 October 2026 that US officials considered Alice Huang a Chinese intelligence asset close to Jensen Huang, Wan reposted his thread, saying he had called it a year earlier.

Months before Jensen Huang admitted to an affair with alleged Chinese spy Alice Huang, short seller Culper Research flagged his ‘uncomfortably close’ ties to her and to Megaspeed, where she worked. At least one other person had raised similar concerns much earlier.

Months before Jensen Huang affair, a short seller bet against Nvidia stock over 'China problem'. He was not the only one with doubts

A brief summary of strategic and industrial motivations, based on publicly known facts about the semiconductor supply chain, AI hardware, and TSMC’s global role. It does not speculate about military intentions.

A brief summary of strategic and industrial motivations, based on publicly known facts about the semiconductor supply chain, AI hardware, and TSMC’s global role. It does not speculate about military intentions.

'Nvidia, TSMC and more': 5 reasons why China wants Taiwan for its AI chip goldmine

When Nvidia announced a stellar profit of about $31.9 billion for its latest quarter, many breathed a sigh of relief: the AI boom might be more than hype. Still, with markets near historic highs, some analysts say the risk of a sharp correction remains real.

When Nvidia announced a stellar profit of about $31.9 billion for its latest quarter, many breathed a sigh of relief: the AI boom might be more than hype. Still, with markets near historic highs, some analysts say the risk of a sharp correction remains real.

Is AI bubble a hoax? Nvidia's $31 billion profit report may hint where the world is going

The company posted net income of $31.9 billion (+65 per cent year-on-year) in the quarter, again exceeding forecasts. Such robust profit growth helped reassure markets that big AI-infrastructure investments may indeed generate returns, rather than just hype.

The company posted net income of $31.9 billion (+65 per cent year-on-year) in the quarter, again exceeding forecasts. Such robust profit growth helped reassure markets that big AI-infrastructure investments may indeed generate returns, rather than just hype.

Did Nvidia’s earnings just help avert a market crash? Here's what numbers show

Google’s Gemini models increasingly run on Google’s own TPU chips instead of Nvidia GPUs, raising questions about whether the shift could reshape the AI hardware landscape. Here’s what’s actually true about Gemini’s performance and Google's reduced reliance on Nvidia.

Google’s Gemini models increasingly run on Google’s own TPU chips instead of Nvidia GPUs, raising questions about whether the shift could reshape the AI hardware landscape. Here’s what’s actually true about Gemini’s performance and Google's reduced reliance on Nvidia.

‘Could change AI’: Google Gemini is performing strong even without Nvidia GPUs

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From Nebius to CoreWeave: Nvidia CEO's exit sparks sell-off across AI cloud stocks

Short seller bet against Nvidia before Jensen scandal. Someone else had doubts

'Nvidia, TSMC and more': 5 reasons why China wants Taiwan for its AI goldmine

Is AI bubble a hoax? Nvidia's profit report may hint where the world is going

Did Nvidia’s earnings just help avert a market crash? Here's what numbers show

‘Could change AI’: Google Gemini is performing strong even without Nvidia GPUs