US Treasury Secretary Scott Bissett has called for a radical change in leadership at Nvidia, following the resignation of CEO Jensen Huang. Bissett questioned whether Nvidia had engaged in illicit sales of advanced AI chips to boost revenue and profits. He expressed concerns about the company's culture and suggested that the board should find a new CEO from outside the company.
Bissett's comments come amid growing controversy surrounding Nvidia's dealings with China. The company is accused of diverting advanced AI chips to China, violating US export rules. Bissett also raised concerns about Nvidia's financial disclosures, citing a sudden increase in revenue from Singapore and a decline in sales in China. Nvidia stopped disclosing Singapore revenue separately in November 2025, citing a new methodology.
The Treasury Secretary's comments follow a report that Bissett and Commerce Secretary Howard Lutnick had a confrontation at the White House over the handling of the case against MegaSpeed, a Singapore-based company accused of diverting Nvidia chips to China. Bissett had advocated for adding MegaSpeed to the government's export blacklist, but the Commerce Department has the final say.
Bissett's criticism of Nvidia also relates to the company's financial ties to the US government. He noted that President Donald Trump had set a strict limit on the sale of advanced chips to China, but allowed the sale of Nvidia's H200 chips to approved Chinese customers. The deal included a 25% share for the US government.
The controversy surrounding Nvidia has also involved Lutnick, who faces scrutiny over his family's financial ties to the company. A report found that Cantor Fitzgerald, a financial institution Lutnick previously ran, helped arrange financing for Nvidia's business partners. Cantor Fitzgerald's holdings in Nvidia shares decreased by 50% over six months.
Bissett's call for change at Nvidia comes ahead of the company's quarterly earnings announcement. He suggested that if Nvidia were a bank, regulators would have taken swift action against executives for non-compliance. The Treasury Secretary emphasized the need for greater accountability at the company.
The US government has been increasing scrutiny of Nvidia's dealings with China, amid concerns about national security. The company's new interim CEO, Colette Kress, will face pressure to address these concerns and restore trust in the company's leadership.
Key points
- US Treasury Secretary Scott Bissett calls for radical change in leadership at Nvidia.
- Bissett questions Nvidia's culture and financial disclosures.
- The controversy surrounding Nvidia involves concerns about the company's dealings with China and national security.
