Musk Says Nvidia Could Lose 'Critical' Deals Sealed on Handshakes With Huang

Musk said Huang had run Nvidia's supply chain well, but that many deals with him were sealed with a handshake, and that at least some of them could be lost without him. Reuters described the deals at risk as "critical". Musk did not say which agreements he had in mind. His companies, including SpaceX's AI unit, are among the large buyers of Nvidia's chips.

If Musk is right, the risk falls on Nvidia's commercial relationships as well as its leadership. Nvidia's position has rested partly on Huang's personal dealings with customers, suppliers and governments. A successor would have to keep those arrangements in place, and investors have been trying to judge how much of that business depended on Huang himself.

Musk is also among the signatories of an online petition urging Nvidia's board to restore Huang to his post. By Saturday it had passed 92,000 signatures. The organisers list 49,023 of the signers as shareholders, 4,919 as current employees and 854 as former employees. Investor Tom Lee and Replit chief executive Amjad Masad have also signed. The signers' descriptions of themselves have not been independently verified.

Huang resigned after an inquiry into his relationship with Alice Huang, an executive at Megaspeed, the chip buyer at the centre of a US export-control case. Nvidia's board has said it has not yet chosen a search firm or formally engaged any candidates to succeed him. The board has been reported to have approached Arm chief executive Rene Haas.

Nvidia reports quarterly results on Tuesday under interim chief executive Colette Kress. It will be the company's first earnings call without Huang in charge, and analysts are likely to press for any sign of strain with large customers.