Culper Research raised concerns about Nvidia's exposure to China and CEO Jensen Huang's relationship with an executive at a major chip-buying company six months before reports emerged of potential links to Chinese intelligence, according to a report by the Australian Financial Review.

The New York-based research firm published a 40-page report on 13 May, warning that Nvidia faced significant risks relating to its China operations. The report questioned Huang's relationship with an executive at Megaspeed, a major purchaser of computer chips that US officials suspect has connections to Chinese intelligence services.

The earlier warnings have attracted renewed attention following reports that Huang acknowledged having an extramarital relationship with a woman whom US authorities suspect of having links to Chinese intelligence. Nvidia is reportedly examining whether its chief executive may have been targeted in a foreign espionage operation.

Culper's intervention came as Nvidia's shares were reaching record highs, supported by investor enthusiasm for artificial intelligence and demand for advanced semiconductors. The subsequent developments have introduced additional governance and geopolitical concerns surrounding one of the most influential companies in the global AI investment trade.

The case highlights the role activist short sellers can play in identifying potential corporate risks, particularly in highly valued technology companies where investor confidence is closely tied to management and future growth expectations.