Scott Bessent demands ‘dramatic shakeup’ at Nvidia as he gives board 10 days to explain chip sales
WASHINGTON,DC: Treasury Secretary Scott Bessent, on Sunday, November 15 called for a major leadership overhaul at Nvidia, arguing that the company should look beyond its own ranks while searching for a successor to former CEO Jensen Huang.
His remarks signal growing pressure from the Trump administration on the world's most valuable chipmaker, which is facing questions over its business practices and the possible diversion of advanced AI chips to China.
BREAKING: US Treasury Secretary Bessent says Nvidia, $NVDA, needs a "dramatic shakeup" after the Jensen Huang scandal. Bessent says he wants to shift the focus from Huang’s personal "foibles" to the legal and national-security aspects. "I want to keep coming back to what was the culture at Nvidia, and were they pressing these seemingly illicit sales to goose their revenues and their earnings?" Bessent said. He then demands answers from the board "within the next 10 days."
— The Kobeissi Letter (@KobeissiLetter) November 15, 2026
Bessent pushes for 'dramatic shake-up'
During his appearance on Fox News' 'Sunday Morning Futures' with Larry Kudlow, Bessent said Nvidia's board should look beyond its existing leadership ranks when choosing Huang's successor, rather than simply elevating another company executive.
“This makes me think that as the board conducts a search for a new leader that they need to go outside the company,” Bessent said. “They needed a dramatic shakeup.”
He also called on the board to take a closer look at Nvidia's corporate culture, questioning whether the company's drive to boost sales and profits had influenced its dealings with customers and intermediaries allegedly involved in diverting restricted chips to China.
“I want to keep coming back to what was the culture at Nvidia, and were they pressing these seemingly illicit sales to goose their revenues and their earnings?” he said.
Bessent said he expected the board and its external legal advisers to provide answers to the administration's concerns within 10 days.
Treasury Secretary Scott Bessent MAKES IT CLEAR that President Trump under NO circumstances wanted China to get its hands on Nvidia's top-tier AI chips. “Nvidia is a wonderful company. Jensen Huang is an incredible innovator. But that does not abrogate their duties of compliance.” POTUS is determined to make sure America WINS the SI race. Fox Business’s Larry Kudlow: “Why would Jensen [Huang] want to do this? Why would the Commerce Department permit it? Because, again, President Trump, I thought, was very clear on his part that the N&E list, you know, had to be signed and had to be enforced.” Treasury Secretary Scott Bessent: “President Trump drew a very strong line at the NVIDIA H200, which is a mid-level chip, and said nothing above the H200 can be sold to the Chinese. And, you know, as I said, we will see if NVIDIA intentionally ignored the warning signs of these shell companies, many of them in Singapore.” “And you could see from the NVIDIA accounts, which they stopped publishing, by the way. They stopped publishing that their Chinese sales crashed, and then the Singaporean sales went through the roof. And, you know, I've seen reporting that only 1% of the chips sold in Singapore remained in Singapore.” “Nvidia is a wonderful company. Jensen Huang is an incredible innovator. But that does not abrogate their duties of compliance. And I can tell you that if this were a bank and they hadn't complied like this, the OCC would be in there right now, and a lot of the executives would be removed.”
— RedWave Press (@RedWavePress) November 15, 2026
Among the issues he wants clarified is whether Nvidia detected potential red flags involving shell companies, including firms based in Singapore, and whether its internal safeguards were strong enough to stop restricted chips from reaching prohibited markets.
He also pointed to an apparent shift in the company's reported sales figures, alleging that Nvidia's sales to China had fallen as its sales to Singapore climbed.
Citing reports, Bessent questioned whether a significant proportion of the chips sold in Singapore were actually staying in the country.
While acknowledging Nvidia's technological accomplishments and Huang's contributions to the company, Bessent maintained that those achievements could not shield it from scrutiny over export-control compliance.
“Nvidia is a wonderful company. Jensen Huang is an incredible innovator. But that does not abrogate their duties of compliance'', he said.
Huang's exit puts board under pressure
Huang's exit has put Nvidia in the middle of a leadership transition as the company faces questions over its business practices and export-control compliance.
The co-founder stepped down as CEO, president and board member on November 12, bringing his 33-year tenure at the company to an end.
Chief Financial Officer Colette Kress was appointed interim CEO, while Harvey C. Jones was appointed the company's first-ever chairman of the board.
His departure came amid allegations surrounding his personal relationships and claims involving a woman suspected of having links to Chinese intelligence.
The controversy has drawn attention to Nvidia's leadership, although the allegations do not establish that the company knowingly violated US export restrictions.
Nvidia's board must now identify a permanent successor while addressing questions about corporate oversight and potential national-security implications.
Bessent's call for an external candidate adds another dimension to the search, signaling that the administration wants the company to consider a leadership change beyond its existing executive ranks.
One name that has surfaced in reports about potential successors is Arm CEO Rene Haas, who previously held senior positions at Nvidia.
However, the company has yet to announce a permanent replacement, leaving the leadership search unresolved.
