Megaspeed vows to cooperate in U.S. Nvidia chip probe

Megaspeed, the Singapore-based data center company at the center of the scandal surrounding Nvidia CEO Jensen Huang, said on Thursday, Nov. 12, that it will cooperate with U.S. government investigations. It was the company's first statement since Huang admitted to an affair with Alice Huang, a Chinese citizen and former Megaspeed executive. Megaspeed said it takes its obligation to comply with U.S. export control laws "extremely seriously".usnews.com

The statement matters because Megaspeed is accused of illegally diverting billions of dollars' worth of Nvidia chips to China in violation of U.S. export controls. A source familiar with the situation told NBC News that the Justice Department is pursuing a criminal investigation into the allegations.nbcnews.com

Law firm hired for chip review

Chairman and CEO Tan Yong Pong, who also goes by James Tan, signed the statement. "Megaspeed is committed to working constructively and transparently with the U.S. government," it said. The company said it has cooperated with inspections by the Commerce Department's Bureau of Industry and Security and "stands ready to cooperate fully with any other relevant U.S. government authority." It also said it has hired a U.S. law firm to run a "comprehensive census" of its graphics processing units and to independently check its export control compliance. The statement did not address the allegations about Alice Huang.wsbradio.com+2

The new tone differs from Megaspeed's December 2025 statement. At that time, the company said inspections by U.S., Malaysian and Nvidia reviewers had found "no evidence of any violations".cbsnews.com

A widening investigation

The Justice Department's National Security Division is leading the probe together with the FBI and the Bureau of Industry and Security. Investigators are also looking at people tied to Megaspeed, including Alice Huang, and at whether China recruited her to spy and to help smuggle chips. According to The Information, she used her relationship with Jensen Huang to move at least $7.5 billion worth of Nvidia chips through Megaspeed and its Malaysian subsidiary, Speedmatrix.fortune.com+1

The case has also caused friction inside the Trump administration. Treasury Secretary Scott Bessent reportedly confronted Commerce Secretary Howard Lutnick over the decision not to label Megaspeed a national security threat.edition.cnn.com

Pressure on Nvidia

Nvidia's board has opened an independent investigation into whether its CEO was the target of a foreign intelligence operation. The board has said it has "no reason to believe" that national security or company secrets were compromised. NBC News reported that the board met to discuss Huang's future, and that Nvidia shares have dropped sharply since he admitted to being "unfaithful".cnbc.com+1

Beijing has rejected the accusations. On Thursday, a Chinese foreign ministry spokesperson said "the U.S. side should stop fabricating so-called espionage narratives as a pretext for implementing technological blockades".nbcnews.com