Nvidia announced Jensen Huang’s resignation Thursday morning

This is a new development in a story we reported earlier: US intelligence believes Beijing recruited former Megaspeed executive tied to Nvidia CEO who resigned. Earlier in this story: Jensen Huang acknowledges affair with Alice Huang in memo to employees; US intelligence officials say China's MSS recruited Alice Huang to spy on Jensen Huang; House Republican Committee chairmen ask Nvidia CEO Jensen Huang for closed-door China briefing.

Nvidia announced Jensen Huang’s resignation Thursday morning, The Motley Fool reported.

The resignation followed a board meeting the previous night that reportedly ousted Huang. It remains unclear whether he willingly agreed to step down or the board pushed him out. The Motley Fool described the episode as humiliating for Huang.

Hedge fund managers Brad Gerstner of Altimeter Capital and Gavin Baker of Atreides Management wrote to Nvidia’s board requesting consideration of Jensen Huang‘s potential return as CEO. In their letter, Gerstner and Baker wrote that the matter “leaves all options on the table, including the potential return of Jensen Huang.” The Motley Fool reported the letter.

An open petition calling for Huang’s reinstatement has gathered over 80,000 signatures, according to The Motley Fool. A letter signed by hundreds of Nvidia employees also calls for Huang’s return, the outlet said.

Nvidia shares tumbled 15% last week as the drama around Huang unfolded. The stock is down a third from its October peak. Over the last decade before the recent slide, Nvidia gained roughly $5 trillion in market value, according to The Motley Fool.

The federal government has not determined that Alice Huang, a Megaspeed executive who had an affair with Jensen Huang, is a spy. She was not directly employed by Beijing and may have been an asset capable of passing information to Chinese intelligence, according to The Motley Fool.

Several investigations spread over months may need to decide whether Jensen Huang or Nvidia violated laws or what reached Alice Huang. Huang would need a full exoneration by the federal government over the chip export ordeal before he could return. Huang has agreed to testify before Congress.

Citing Bloomberg, The Motley Fool said Huang appeared to express remorse before resigning. The resignation may have come to avoid more embarrassing details airing in the media. After the resignation, Reuters reported a third affair involving Huang and an unnamed employee, and more affairs may exist.

It remains unclear whether Huang wants his job back now. The Motley Fool stated that Huang’s return seems like a long shot and is not a reason to buy the stock. Bringing Huang back could lead to further chaos at Nvidia while regulators investigate the company.

Nvidia will report third-quarter earnings on Tuesday. CFO and interim CEO Colette Kress will handle the earnings call.