Taiwanese chip executives expect AI demand to hold up during an inquiry involving Nvidia CEO Jensen Huang, though one said suppliers could be affected if U.S. scrutiny intensifies, CNA reported.
Nvidia’s board said Nov. 8 that a committee of independent directors, assisted by outside independent counsel, would oversee an investigation into reports that a foreign intelligence effort had targeted Huang. The board said it had no reason to believe national security or Nvidia secrets were compromised. It has announced no findings.
In a published message to employees, Huang acknowledged being unfaithful to his wife and said he would cooperate with the investigation. He did not identify the other person.
A source in chip packaging and testing told CNA that Taiwan’s supply chain could be affected over the next six months if U.S. scrutiny increased. The source expected AI growth to continue over the longer term. Two other executives interviewed by CNA cited cloud providers’ infrastructure spending, businesses’ growing computing needs and established supplier relationships as reasons they expected demand to persist.
Taiwan Institute of Economic Research President Chang Chien-yi expected little effect on the broader AI supply chain, CNA reported. He said many orders for Taiwan’s exporters in the first half of 2027 had already been placed.
The companies’ latest reported results predate the inquiry. Nvidia recorded $89 billion in data center revenue for its fiscal second quarter ended July 26, up 117% from a year earlier, within total revenue of $96.2 billion. Taiwan Semiconductor Manufacturing Company Limited (TSMC) reported $46.72 billion in revenue for the quarter ended Sept. 30, up 41.2% year over year in U.S. dollar terms.
Nvidia’s earlier forecast called for fiscal third-quarter revenue of $108 billion, plus or minus 2%. The earnings reports and forecast do not measure any effect the inquiry may have on future supplier orders.
In a request issued Nov. 5, before Nvidia announced its inquiry, three U.S. House committee chairs sought a closed-door briefing with Huang on Nov. 18. They asked him to accept that date or propose another by Nov. 11. Nvidia is scheduled to discuss its fiscal third-quarter results Nov. 17 at 5 p.m. ET.
