00:01:23.000Instead, he basically has everybody report directly to him.
00:01:29.000Well, there's a very good book called the NVIDIA way by an author named Tai Kim who explained the NVIDIA strategy.
00:01:35.000Quote, Jensen announced to his executive team he had figured out how to keep NVIDIA ahead of the competition forever.
00:01:41.000We're going to fundamentally restructure the engineering department to line up with the refresh cycles.
00:01:45.000He said, NVIDIA would split up the design team into three groups.
00:01:48.000The first would design a new chip architecture.
00:01:50.000The other two would work in parallel to the first to develop faster derivatives based on the new chip.
00:01:55.000This would allow the company to release a new chip every six months in line with PC makers' buying cycles.
00:01:59.000So, in other words, NVIDIA has stayed ahead of the game because they're constantly reinvesting their profits into building the next thing, and they are doing so on a six month cadence.
00:02:07.000So, it means that no one can ever catch up to them.
00:02:09.000The big mistake huge corporations make is they sort of consolidate their gains and then believe that nobody else will ever catch up to them.
00:02:18.000Instead, he keeps the company running extremely hard.
00:02:21.000Now, a lot of this is personally dependent on Jensen Huang.
00:02:25.000So, according to the book, Jensen has run the company for 32 years at the time of publication, more than half his life.
00:02:31.000NVIDIA is bigger, more profitable, and more crucial to the global economy than ever before, yet it still relies on Jensen as a business leader and a tone setter.
00:02:38.000Apple survived the ouster of Steve Jobs in 1985 and his death in 2011.
00:02:42.000Amazon, Microsoft, and Google all did well after Jeff Bezos, Bill Gates, and Larry Page and Sergey Brin wanted to move on.
00:02:47.000Someday, NVIDIA will have to face a similar transition.
00:02:50.000It is not quite clear what the company might look like post Jensen.
00:02:54.000Now, this author, Tai Kim, talked to Jensen at the time he wrote the book.
00:03:04.000And character, in his view, can only be the result of overcoming setbacks and adversity.
00:03:07.000To Jensen, the struggle to persevere in the face of bad and often overwhelming odds is simply what work is.
00:03:13.000It is why, whenever someone asks him for advice on how to achieve success, his answer has been consistent over the years I wish upon you ample doses of pain and suffering.
00:03:33.000Doesn't matter that tech is powering America's economic growth right now.
00:03:36.000They're worried about AI data centers.
00:03:38.000Last week, voters across the nation rejected new AI data center development despite the fact it's creating jobs and economic growth.
00:03:45.000Voters are worried about AI development because you have people like Dario Amode over at Anthropic saying that AI development will end with nuclear annihilation.
00:03:53.000People are deeply worried about AI's impact on, for example, job markets.
00:03:57.000Now, simultaneously, while voters are very concerned about AI and tech, They are also highly concerned about corruption.
00:04:03.000That was literally the top issue in the election last week.
00:04:06.000Not cost of living, not Iran, not AI, corruption.
00:04:10.000They are worried that people are making bank off of their connections while they themselves are lagging economically.
00:04:16.000Now, to add insult to injury, an October Politico poll showed that a plurality of Americans believe that all the major tech CEOs are Republican.
00:04:25.000For example, again, Emoti is pretty obviously on the Democratic side of the aisle.
00:04:30.000But it does lay the groundwork for something that I've been warning about since literally the inauguration of 2025.
00:04:35.000The alignment of the Trump administration with the tech bros makes it look as though they are in bed together.
00:04:41.000And if it looks as though they are getting special privileges, That will all come crashing down if there's a width of corruption, if there's a hint of corruption, and Democrats will jump on that with both feet.
00:04:52.000So, on Sunday, Nvidia had to open an investigation into Jensen Huang, its chief executive and co founder, according to the New York Times, after he acknowledged to the company's board that he had been intimate with a business executive who U.S. intelligence determined was a Chinese spy.
00:05:08.000Huang's relationship with the woman, who goes by Alice Huang, became a U.S. government concern after surveillance revealed she was feeding information directly to Beijing.
00:05:17.000The revelation raised troubling possibilities because Huang is one of the most powerful figures in the AI revolution as an influential ally of President Trump as well.
00:05:24.000In a message to the company, Jensen Huang apologized I was unfaithful to my wife.
00:05:32.000Now, NVIDIA, of course, they're saying that there is no reason to believe national security was compromised or that NVIDIA secrets went the way of the Chinese, but that the board's inquiry will examine all available information.
00:05:42.000Well, listen, they're stuck between a rock and a hard place.
00:05:44.000NVIDIA without Jensen is not NVIDIA, and everyone knows it.
00:06:55.000So according to the New York Post, she served as a top executive at the Singapore based Mega Speed, which is an Nvidia customer and cloud partner that provides AI computing power to Chinese companies, including Alibaba.
00:07:06.000Before she entered the world of finance, Alice had worked as a reporter for CCTV, the national broadcaster of the Chinese state, and also Hunan TV, a regional broadcaster in central China, according to her LinkedIn biography.
00:07:17.000She then moved on to Chinese financial companies and the London based HSBC's private banking division.
00:07:24.000She also worked as an executive at the Shanghai Hexie investment firm that backed Seven Road International.
00:07:29.000Now, American officials, according to the New York Post, believe that she was recruited at some point by the Chinese Ministry of State Security to spy for the country's main intelligence agency.
00:07:40.000Now, here is where things start to get really, really dicey.
00:07:43.000The Commerce Department first flagged Alice as a suspicious actor during the end of the Biden administration following her sudden rise to the top of Mega Speed.
00:07:50.000Okay, now, this is already bad enough, right?
00:07:56.000If NVIDIA was compromised by a Chinese honeypot, that immediately raises questions as to what the Chinese knew. about NVIDIA's tech.0.92
00:08:02.000And again, bleeding edge tech for NVIDIA means if China got a hold of it, they'd be significantly more competitive, not just in AI, but in defense tech that is linked to AI.
00:08:12.000It also means the Chinese might have known about NVIDIA's lobbying of the federal government to allow sales of NVIDIA chips to China.
00:08:19.000Because again, if you show ties between that and the administration, then the Democrats have all the leverage in the world to apply against the tech companies generally.
00:08:30.000And it now appears that the Commerce Department was fully investigating Alice Huang's Chinese backed company.
00:08:39.000And this is where things get really, really kind of ugly.
00:08:42.000According to the New York Times, investigators at the Commerce Department were deep into a months long investigation of a Singaporean company they suspected of smuggling NVIDIA's artificial intelligence chips into China when their work came to a sudden halt late last year.
00:08:54.000The investigation centered on Megaspeed, a data center company led by an executive who U.S. officials now believe to be a Chinese spy who had a relationship with Jensen Huang.
00:09:03.000It is not necessarily unusual for Commerce Department agents working on a case to speak with a company's representatives about issues involving their firm, but what was unusual. Was the content of the message.
00:09:12.000Tim Teeter, NVIDIA's general counsel, said that Jeff Kessler, a top official at the Commerce Department, had given NVIDIA permission to reach out about the case.
00:09:21.000The agents were alarmed that NVIDIA had invoked the name of Mr. Kessler, their superior, who was nominated to his role by President Trump.
00:09:28.000The incident raised questions about what Mr. Kessler, who reports directly to the Commerce Secretary, Howard Letnick, who, again, the Commerce Secretary, Howard Letnick, his net worth has gone up massively during this administration, had discussed with NVIDIA.
00:09:41.000Perhaps inadvertently, some officials said Mr. Kessler had opened himself to accusations of undue influence.
00:09:45.000And potentially jeopardize his department's work on mega speed.
00:09:50.000To an outside point of view and to Democrats, who will certainly make hay while the sun shines out of this, this looks as though Jensen Huang was sleeping with a Chinese spy.
00:09:59.000The Commerce Department was investigating her nonsense Chinese backed company.
00:10:04.000And then there was a coordination that took place from the highest levels of the Commerce Department with NVIDIA.
00:10:09.000And then the investigation suddenly went and just went away.
00:10:17.000It turns out, according to Wired, Jensen Huang began working with a crisis communications firm known for handling public scandals a year before he admitted to having an extramarital affair with a woman suspected by U.S. intelligence of being a Chinese spy.
00:10:31.000Risa Heller is the firm's founder, and she has built a reputation as a fixer for powerful men facing allegations of sexual misconduct and other personal controversies.
00:10:40.000So, again, literally a year ago, like October 2025, Huang reached out.
00:10:46.000So, about the same time, apparently, that the Commerce Department killed the investigation.
00:10:50.000Into this Chinese backed company that featured the honeypot.
00:10:55.000About that time, Jensen started hiring a crisis firm.0.89
00:10:59.000So, for like a year, this has been sort of brewing.
00:11:04.000Unsurprisingly, Nvidia's stock dropped more than 4% on Monday after Jensen Huang admitted to having an affair with the alleged Chinese spy.
00:11:14.000Now, other chip stocks started to climb.
00:11:17.000The good news about capitalism is Nvidia isn't the only game in town.
00:11:21.000Broadcom and AMD rose 9 and 13%, respectively.
00:11:25.000However, again, this is going to open the door.
00:11:28.000It's not just about what happens to NVIDIA here.
00:11:54.000And he just hands it over to somebody similarly qualified, right?
00:11:56.000It's not Steve Jobs handing it over to Tim Cook or something.
00:12:01.000And again, there's going to be bipartisan outrage here because Republicans are upset about the Chinese angle to this, and Democrats are upset about the fact that, again, tech companies exist in the first place, but they are very particularly upset with these tech companies working with the administration.
00:12:16.000And they see an opportunity to make political hay.
00:12:19.000If the number one issue is corruption in the last election cycle, and people are dyspeptic about AI, what a wonderful story for Democrats.
00:12:26.000Here is AI and corruption all wrapped up in a ball together.
00:12:33.000While the House Foreign Affairs, CCP, and Intelligence Committees have now requested that Jensen Huang appear for a closed door briefing, they put out a statement We are writing to request that you appear before our committees for a joint closed door briefing on NVIDIA's security protocols against foreign adversary espionage and your interactions.
00:12:49.000They publicly reported PRC asset, Megaspeed executive Alice Huang.
00:12:54.000Supposedly, they've asked him to appear next week.
00:12:58.000President Trump, for his part, came out yesterday in defense of Jensen.
00:13:05.000I just think he's a very honorable man.
00:13:08.000I mean, he built a great company, American company, and I think he's a very honorable guy, and I feel very confident that he'll be in good shape.
00:13:17.000When you went to China earlier this year in May, did you know about these alleged ties that the Chinese spy then?
00:15:26.000All that stuff is on the horizon, which is just one reason you should diversify.
00:15:29.000And this is why you should give my friends at Golden Crest a call.
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00:16:20.000I mean, if you've ever seen an ultrasound of your child, it changes your life.
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00:18:10.000That Christine Fang Fang cultivated California politicians, including Representative Eric Suwawa, before leaving the US in 2015.
00:18:17.000You might remember Linda Sun, a former aide to New York governors Andrew Cuomo and Kathy Hochul, was charged with money laundering and being an undisclosed agent of China.
00:18:26.000You might remember an actual mayor of Arcadia, California, charged in May 2026 with one count of acting as an illegal agent of China.
00:20:04.000It is a recession packaged in populism, packaged in a corruption narrative.
00:20:10.000It's an onion of joy for Democrats.1.00
00:20:12.000And again, it just raises the very real aspect of human life on this planet, which is that everyone is weak, everyone is sinful, people make mistakes, people do things that are stupid.0.99
00:20:23.000The smartest people you know will do dumb things.0.89
00:20:26.000A Jensen Huang, a brilliant human being, one of the richest people on planet Earth, was drawn into a Chinese honey trap because, again, men still are men and still have zippers.1.00
00:20:36.000And that will never stop, not ever.0.97
00:20:39.000But if the countervailing effect of this is to destroy the tech boom, if the countervailing effect of this is all going to be Democrats dragging up every major tech CEO and reaming them and dragging them over the coals and connecting them with the Trump administration and taking Trump administration corruption and tying it to the tech sector.
00:20:58.000What you're going to get is a recession, and then people will blame the Republicans, and then Democrats will be elected on the back of a recession they hope cause.
00:21:18.000And the answer is, as we discussed last week, when the stock market saw a massive dump, it turns out that the tech sector affects everyone, not just how you do your work, but also your 401k.
00:21:28.000How people invest, what happens to liquidity, how easily you get a loan.
00:21:45.000Well, you know, if you think so, head on over to dailywire.comslash subscribe to watch the full show ad free or check out this crazy story here.