New Delhi, India: Investors Altimeter Capital Management and Atreides Management have urged Nvidia's board to keep open the possibility of founder Jensen Huang returning as chief executive, calling for a slow and careful succession process following his sudden resignation.

In a letter addressed to the company's board, Altimeter CEO Brad Gerstner and Atreides Managing Partner and Chief Investment Officer Gavin Baker said the board should not rush to appoint a permanent successor before all the facts surrounding Huang's departure are known.

"Given the extraordinary success of Jensen Huang’s leadership over a long period of time and given the massive uncertainty associated with recent events surrounding his departure, we believe it is in the best interest of all stakeholders, and certainly the shareholders of Nvidia, for the Board to pursue a slow, measured, and deliberate process," the investors said.

They added that the process should leave all options open, including the possibility of Huang returning to the CEO position. "There are more questions about recent events than answers," the letter said. The investors also expressed confidence in interim CEO Colette Kress and her team, saying the company would be "capably led" during the transition and that the board had sufficient time to make the right decision.

Nvidia announced on November 12 that Huang had resigned as president, CEO and a member of its board, effective immediately. Kress, who has served as the company's chief financial officer since 2013, was appointed interim CEO while the board begins a search for a permanent successor. Harvey C. Jones was appointed the company's first-ever board chair.

The leadership transition comes amid controversy over Huang's alleged relationships with three women. One of them is Alice Huang, a Chinese businesswoman associated with Singapore-based data company Megaspeed, which has faced scrutiny over alleged diversion of Nvidia chips to China.

Reports by The New York Times and Reuters also alleged that Huang had relationships with Nvidia Vice President Kimberly Powell and a second company employee. Huang later apologised to his family and employees for being unfaithful. Nvidia's board had launched an independent investigation into reports that Huang was the target of a foreign intelligence effort, while saying it had no reason to believe that national security or company secrets had been compromised.

Meanwhile, Tesla and SpaceX CEO Elon Musk has backed a purported petition seeking Huang's reinstatement, writing on X, "A petition is underway to reinstate Jensen, and I'm signing it too." US President Donald Trump has also expressed support for Huang.

According to a report by The Financial Times, Nvidia's board has approached Arm Holdings CEO Rene Haas as a potential successor to Jensen Huang, although the succession process remains at an early stage. Haas, who previously worked at Nvidia for around seven years, is among the names being considered.

However, the board has not announced a permanent successor. Nvidia is scheduled to report its third-quarter fiscal 2027 results on November 17, during the leadership transition. The investors said the board could ultimately decide that Huang's return was not in shareholders' best interests, but argued that such a decision should follow a careful review rather than a hurried replacement. (ANI)