Nvidia Corp Chief Executive Officer Jensen Huang experienced his most significant wealth decline on Tuesday, with his net worth plummeting by approximately $10 billion to $94.9 billion, according to Bloomberg. This marks the largest single-day dollar drop for Huang since the Bloomberg Billionaires Index began tracking his wealth in 2016.
The substantial decrease in Huang's fortune followed a 9.5% drop in Nvidia's stock price, coupled with reports that the US Justice Department had issued subpoenas to the tech firm as part of an intensifying antitrust investigation. A spokesperson for Nvidia declined to comment on the matter.
Nvidia's products have achieved remarkable success, establishing the company as a critical component in the supply chain for some of the world's largest corporations. This prominence, combined with competitors' struggles to develop alternative chips, has caught the attention of antitrust officials. According to a report by Bloomberg News, citing sources familiar with the investigation, the DOJ is now sending legally binding requests that require recipients to provide information, bringing the government closer to potentially filing a formal complaint.
Sources close to the matter indicate that antitrust officials are concerned about Nvidia potentially making it difficult for customers to switch to other suppliers and penalizing buyers who do not exclusively use its artificial intelligence chips.
Despite Tuesday's sharp decline, Huang's wealth has still grown by $51 billion year-to-date, according to the Bloomberg Billionaires Index. The Nvidia co-founder currently ranks as the world's 18th richest person.
Huang, who was raised in Taiwan and Thailand before emigrating to the US, co-founded Nvidia in 1993. The company has since grown to become the world's third-biggest firm by market value.
When questioned about the probe, Nvidia stated that its market dominance is a result of the superior quality of its products, which deliver faster performance compared to competitors.
