Reactions to Nvidia's probe into CEO Jensen Huang

Nov 9 (Reuters) - Nvidia's board is probing whether CEO Jensen Huang was the target of a foreign intelligence effort, following a media report alleging that he had a close relationship with a Chinese businesswoman who passed information to Beijing.

Here are comments by analysts ‌and prominent figures:

RYU YOUNG-HO, SENIOR ANALYST AT NH INVESTMENT & SECURITIES:

"It appears the US government had been aware of the matter involving Jensen Huang ‌for several months, so the immediate impact is unlikely to be significant.

"The biggest potential risk for South Korean companies would be if a prolonged investigation or internal review were to lead Nvidia ​to delay its investment decisions.

"If Nvidia's product shipments or launches were to be delayed, it could have broader implications for the semiconductor industry."

GARY BLACK, TESLA INVESTOR WHO MANAGES MONEY FOR THE FUTURE FUND LLC:

"I doubt Jensen Huang will be able to remain as (Nvidia) CEO. This could put short-term pressure on the stock of the second most valuable company in the world.

"He has no natural successor within the company. While Huang has not committed any crime or tort, his code of conduct and ‌judgment will be called into question, which will likely ⁠result in his removal ...

"Many portfolio managers will reduce their (Nvidia) holdings in the coming weeks as a result of uncertainty over who could succeed Jensen."

"I have not spoken to him about it. I just know he's a fine person, ⁠but you never know what is going on. I hope everything's fine ... I think he's an honourable guy."

"I am not suggesting he gets a free pass. If indeed this is more than an affair, then it is obviously a real problem. I like the guy. He has done a lot of good for ​the ​world and I hope the damage here is minimal. That is, I am hoping ​for a simple affair, not a risk to our national ‌security."

"While Nvidia has sought to reassure us all, there are several layers here, beginning with the unfortunate timing.

"For example: The company is systemically important for tech, markets and the economy; Investors tend to struggle to price in key-person and governance issues; and there are fluid national security and geopolitical dynamics."

Maguire said Huang "did something incredibly dumb" that was "bad for America" but that "Jensen is irreplaceable for America's AI leadership".

Tesla CEO Elon Musk commented, "I agree" to the post.