I Spy a Scandal at Nvidia

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That's AvocadoGreenMatress.com to get up to 20% off, AvocadoGreenMatress.com. It's Tuesday, November 10th. The thing with delicate electronics is supposed to keep them away from honeypots. We start here. Markets react to the world's most powerful tech firm investigating its own CEO. How did someone with alleged connections to the Chinese government get so close to one of the most important CEOs in the country? Chips, China, and allegations of spycraft. Pete Hegseth could face an impeachment vote. You went to wars. He was in charge. We all won. President Trump says he's sticking with him, but pressure is growing. And this might have just upended 80 years of assumptions about concussions. You don't have to get hit in the head to suffer a concussion. The new study that's about to be cited in countless sports leagues. From ABC News, this is Stark Here. I'm Brad Milky. There are lots of reasons to be concerned about artificial intelligence. We just saw many of them articulated by voters in last week's midterms. AI programs can be ethically fraught. Critics say they're already replacing human jobs or even worse. Human thought. Why engage with a topic when you can get an AI agent to publish a blog post about it for you? AI is competitive. There are several companies all competing to create the next great chatbot. And AI is above all speculative. Remember Anthropic and its massive forthcoming IPO? That is a company currently losing money. And no one really knows for sure whether they will make good on their huge investments. Well, these concerns do not apply in the same way to the company called Nvidia. You've probably heard of Nvidia. It's now widely recognized as the world's most valuable company. The unlike open AI or Anthropic or meta, Nvidia doesn't make software. It makes hardware chips. All those other companies they're using Nvidia's chips. Because of that, Nvidia, based in Santa Clara, California, and the good ol' U.S. of A, is massively profitable. Say, are the absolute backbone these years and years ahead of other people and other companies? The entire world is now running on Nvidia. This also means Nvidia doesn't have to face the same controversies about what answers its chatbots are giving to teenagers or little old ladies around the country, which might be why, when President Trump hosted a bunch of tech executives at the White House last month. And a lot of AI guys seemed a little wary of the press. Nvidia's CEO, Jensen Wong, was comfortably taking questions. This is the largest industrial revolution in history. He's at the top of the tech world. At least, that's what everyone thought. This weekend, Wong's own company announced it was investigating him over allegations he might have been the target of a foreign intelligence operation. In other words, America's top tech CEO at the world's most valuable company might have been taken in by a spy. You've been seeing massive fallout from this. Let's go to ABC's Capitol Hill correspondent J. O'Brien J. What is happening here? Yeah, Brad, this is extraordinary. It's an alleged spy saga that has ensnared one of the most important CEOs to put it plainly in the world, running one of the most important companies in the world. Those chips power the AI race. We started to hear inklings of this roughly a week ago when the New York Times reported that Jensen Wong had what they described as a close relationship, according to US intelligence officials, with this woman named Alice Wong, no relation. Alice Wong, US intelligence officials determined the Times reported, is an alleged Chinese spy who was recruited to get information from Jensen Wong and potentially get access to Nvidia's high-powered, extremely top secret chips that the US government doesn't allow to be sent and sold to China. All of that to say, that story breaks last week. Then there's another report that breaks some days back that they didn't just have a close relationship, according to this report, but they had a romantic relationship. Then over the weekend, Jensen Wong admits to having an affair. He doesn't say with whom, but the New York Times reports that he informed his board that that woman is Alice Wong, that alleged Chinese spy. It's worth pointing out here, Brad. Beijing denies that Alice Wong is a spy. However, the New York Times reports that US intelligence officials have determined that she is, and the Times reports that President Trump, roughly a year ago, was briefed on this and at the time, we don't know what he did subsequently, but at the time, the Times says that he chose not to take any action. And that's important because Jensen Wong has emerged as this key advisor to President Trump. This is, I think the next question here, Jay, is who knew what and when? Because if this did not just start with the New York Times saying, "Hey, someone should perhaps look at this woman." They were quoting sources saying, "Government officials have been looking at this woman." Do we know how this was unfolding behind the scenes and what was said to people like President Trump? We know shades of it, but a lot of it is still unclear. So the timeline of this is very important. Roughly a year ago, the New York Times says that President Trump was briefed on this matter. He chose not to take any action. And at the time, the decision was made not to give, according to the Times, Jensen Wong, what's called a defensive briefing, meaning that you're called in to usually at the FBI. And they say, "Hey, you're being targeted by a Chinese spy. This is what you need to do." At the time, he's not given that briefing. We don't know if he got one subsequent to that over the years. The second thing that happens is then later this spring, Marco Rubio, the Secretary of State and the President's National Security Advisor, oversees, according again to the New York Times, the creation of this highly classified memo that further outlines the relationship between Alice Wong and Jensen Wong. In between this time, Brad, and it's murky as to where it happens on the timeline, but it happens, you know, over the months. Jensen Wong in May goes on Air Force One with President Trump on a state visit to China. There are pictures of him getting off Air Force One. In September, he attends a state dinner for Chinese President Xi Jinping. Days later, he goes to a top AI summit at the White House. He's front and center there. And it's important here because A, we know President Trump has turned to Jensen Wong as an advisor on a number of issues, both publicly and privately. And Jensen, we are honored to give you the highest award of its kind. Again, anywhere in the world, there's nothing like it. The National Medal of Science and you truly deserve it. Congratulations. And B, we know that Jensen Wong has lobbied President Trump on some issues. Namely, he was instrumental in pushing President Trump late last year to loosen restrictions on the export of kind of the second tier, if you will, of NVIDIA's chips to China. All this speaks to President Trump being like this. NVIDIA's our future, like as an American economy. And Jensen Wong is our guy. Exactly right. The President really likes Jensen Wong. He talks about him all the time. And the question I've heard, both from former intelligence officials who were looking on from this who used to do this work, as well as lawmakers on Capitol Hill on the relevant intelligence committees, is they want to know what, if anything, Jensen Wong may have allegedly told this woman and what, if anything, she told him and may have influenced him on. Are you concerned by what you've seen publicly in this Wong case? They are real concerns that need to be addressed with respect to the NVIDIA situation. I asked a Kim Jeffries, right now the top Democrat in the House, poised to become the Speaker of the House come January. What he thinks about all this. We're going to need a full briefing. Right before we talked, he had been in a closed or classified briefing where we know that this topic came up. And he said he's concerned. But Jay, this is my question. Say Alice Wong is a spy. Right? Say that's all true. Is the concern that China would like profit from all this? Because they know what NVIDIA is going to do. It's a corporate espionage thing. Or is it more nefarious in like they could, I don't know, install a back door and spy on Americans' use of AI or like our government's use of AI? Like, what are the actual concerns here? Well, from folks I've talked to, one, it's all of the above. But really it comes down to information. But we have all of them and it's amazing. Second is China, but as President, as you would say, you know, they're quite a waste back. And we have to keep it going. We are in this AI arms race with China. And right now, an American company in NVIDIA makes the best chips in the world. And it's been rewarded as such. It's one of the most valuable companies in the world. It's one of the most traded stocks in the world. It's in most Americans 401Ks. And so there's a concern about China getting access to that advanced technology. Number one, there's a concern. concerned about China getting access to what, if any, conversations Jensen Wong had with President Trump privately, number two, and there's a concern about whether or not Alice Wong attempted to influence Jensen Wong's thinking on certain issues. We do not know if any of that occurred. I want to be very clear about that. Nobody knows, but those are the burning questions now. Oldest story in the book of like, ah, I thought she really liked me, again, if true. Overall though, Jay, what does this mean for, I mean, not just President Trump and how he sees the AI space, but for all of us, like the AI space, whether we like it or not, is very much defining sort of the next chapter in our world's history. Is that being rewritten because of this? What's happening within video in these companies? It's unclear first and foremost what it means for Nvidia. The company's stock was down yesterday over 4%. It's unclear what it means for Jensen Wong's leadership. Although the board of Nvidia has said, number one, it has confidence in Jensen Wong and his leadership team. And number two, they have found no evidence that national security was compromised or Nvidia secrets were compromised. That's what the board of that company says. For President Trump, it really impacts a close ally of his. I just know Jensen very well. I just think he's a very honorable man. He's a great, built a great company, American company, and I think he's a very honorable guy. And I feel very confident that he'll be in good shape. President Trump yesterday did this impromptu briefing where he defended Jensen Wong. He's an amazing guy. I just hope there's no problem. If there is a problem, we'll let you know about it, but I hope there's no problem. I believe he's suffering greatly. I read his statement and I believe he's suffering greatly. He also said the FBI is investigating this, it's unclear for how long the FBI has been investigating this saga. He also said perhaps the most telling thing of all, which he said yesterday he spoke to Jensen Wong. And he asked him directly, did he know that this woman was an alleged spy? Wow, and we should reiterate, China is denying flat out that Alice Wong is part of the Espionage program in video. They haven't found one where the other Jensen Wong says he's cooperating with authorities, such a wild story, with such big ramifications for all the Americans, whether they know it or not, who own a piece of this company, a J.O. Bryan in Washington. Thank you. Thank you, Brett. Next up on Start here, once the president made that appearance in the briefing room, well, he had a lot more questions to answer or back in a bit. This show is sponsored by Quince. The best pieces in your closet are the ones you can count on, whether you're heading to work, going out, or keeping things casual. 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Let's talk about something no one really wants to talk about. What happens to us when we pass? Unfortunately, it's going to happen to everyone of us, so if you want to make sure your family's protected the way you would like them to be after you're gone, it's important to act ahead of time and document your wishes now, clearly and securely. That's where Trust & Will comes in. Trust & Will offers affordable, attorney-designed estate plans that you can create online in just minutes, giving you a lifetime of peace of mind. On their easy to use website, you can document your wishes for guardianship of children and pets, distribution of assets, and health care planning. It's designed to be easy to tackle on your own or with your partner, but if you get stuck, attorney support is available as an add-on. When you're ready, you can share access with trusted contacts. 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We knew Republican Congressman Thomas Massey was calling for this Hegseth impeachment. Now he's what filing the paperwork to see it through what happens here. Yeah, it was one of the first orders of business, just as newly elected members of Congress are actually arriving on Capitol Hill yesterday, outgoing Republican Congressman Thomas Massey of Kentucky filing these eight articles of impeachment against the Defense Secretary. In the name of itself and of the people of the United States of America, against Peter Brian Hegseth, Secretary of Defense, in maintenance and support of its impeachment against him for high crimes and misdemeanors. He is accusing Hegseth of violating the Constitution by illegally launching the war with Iran. He says he's endangered members of the military and is accusing him of killing hundreds of civilians in those boat strikes against alleged drug smugglers. Secretary Hegseth, knowingly executed and implemented unlawful orders to initiate war against a foreign nation, notwithstanding the absence of congressional authorization. Hegseth denies any wrongdoing. He's dismissed this effort to impeach him as nothing more than, quote, partisan noise. The House is now considering these articles of impeachment. They have to vote on them by Wednesday. And we do know that some Republicans, like Congressman Don Bacon, are on the fence. Of course, Democratic leaders, like a King Jeffries, who's poised to become the next speaker of the House says he is a, quote, "hard yes" to impeach. Well, and even if this went through the House, then you can't imagine it would get in the votes in the Senate, probably, but regardless, Mary, even if that doesn't happen, does this put new pressure on Trump to replace Hegseth or other members of his cabinet? What's he, how's he describing this? Well, late yesterday, the President sent reporters over here at the White House scrambling, making a surprise appearance in the briefing room, and from the podium, the President defended the war in Iran and made it very clear that he is standing firmly behind Hegseth. What about impeaching the leaders of these stupid wars that were done when nothing was gained? In Iran, they won't have a nuclear weapon. That's a big thing. He defended his handling of the war, and he was asked, point blank, if he's going to stand by Hegseth, even if he's impeached, and the President said, yes. So even if he's impeached, you're going to pressure him on your defense secretary. He went to wars. He was in charge. We owe one. For now, the President publicly saying, Hegseth isn't going anywhere. And more broadly, Mary, what do you get out of seeing Trump on 60 minutes the other night? Because you did tackle some pretty fundamental questions about his last two years in office. And he was, I mean, pretty reflective as far as he goes about the losses sustained by Republicans last Tuesday. Yeah. And you know what? In addition to speaking about the war, and keep in mind, the President has said that the war was partly to blame the war and the economic fallout from it, the rising prices, that that was partly to blame for why Republicans saw such blistering losses in the midterms. But the President, in that 60 minutes interview, he really made a stark admission, saying his immigration policies may have been too tough. So you think your deportation policy was too tough? I think it might be too tough, yeah. And a lot of people would say that it's great, but a lot of people think it's too tough. Of course, we know that the President's controversial immigration crackdown, the way that deportations have been handled, likely hurt Republicans, especially in some states in the South like Texas, Florida. And so it was interesting to hear the President say that, yeah, he thinks it might have been too tough, because it seems that he's sending some mixed messages, because of course, just last Friday, the President announced that Stephen Miller would be his new chief of staff, his closest, most trusted advisor here in the White House. And Stephen Miller is the architect of that controversial crackdown. Now, the President was asked about this as well yesterday, and that's a prize appearance in the briefing room and he says his policy hasn't changed. Now, that was how the policy was built in the first place. I think one outstanding question is whether Stephen Miller is on that same page now. Right. If he says it's too tough, I mean, is his chief of staff, who's never really talked about any efforts to scale back deportation efforts, would Stephen Miller actually facilitate that? Also, I mean, Trump bringing up openly that he planned to pardon many, many people on his final days and office a couple years from now, just kind of a lot of candid this there that then he went back to you guys and explained yesterday afternoon. Mary Bruce, thank you. Thanks, Brad. We are in the thick of football season. NFL teams are halfway through their regular season. The college games are getting serious, and high schoolers are in the playoffs, including my alma mater, Santa Margarita playing I'm saying Clementine this Friday in Southern California, Go Eagles, and every level of the game, and in several other sports, one of the primary health concerns is concussions, right? We know how traumatic brain injuries can affect athletes long after their playing days are over. - We started to define that among the brains of 111 former NFL players donated to science. Nearly all shows signs of the brain disease known as CTE. - And yet it's also clear that we're still learning exactly how concussions work and even what causes them. In fact, yesterday this big new study came out that could up end years of recommendations as it attempts to show what types of hits yield the most serious head injuries. Dr. Darian Sutton is an emergency room physician and a medical correspondent here at ABC. Dr. Sutton, tell me about the study, what did it find? - Hey Brad, so yesterday this study came out and it's really interesting because it really challenges what has long been thought to be a major risk factor for how you get concussions. So for decades, scientists have believed that one of the biggest risk factors for concussions comes from the sudden twisting of the head during a collision. If you think about, for example, how a football player might get hit from the side, their head suddenly rotates, causing the brain to stretch and strain, that potentially damages delicate brain tissue and that understanding has shaped how helmets are designed and tested to reduce that rotational force. Now make no mistake, a helmet also is designed, of course, to reduce impact, but the goal of a helmet, especially when you're talking about professional football, is to reduce the risk of concussions. And that very much was how helmets had been designed. And so what we learned from this study and researchers from Stanford examined real collisions between professional football players, at least 4,000 or nearly 4,000 head impacts, including football hockey, rugby, using these specialized mouth guards to measure how the head moved. They found that really, it wasn't the twisting that was causing the main risk. It was the sudden acceleration forward or acceleration backward. That was a better predictor of a risk of concussion. And what many people might not realize is that you don't have to get hit in the head to suffer a concussion. A sudden jolt, like a car accident, can cause enough movement to enter the brain. - Without impact, whenever we're talking about concussions and sports, we're always talking about impact. Why would that not be the case here? - So number one, our brains completely surrounded by bone. There's a reason for that. But there's also a risk because that bone surrounding our brain is a locked space. Why does that matter? When the brain swells, for example, it doesn't have space to expand, and that can then lead to damage. So that's a risk here. When you suddenly have a force, and that doesn't have to be a physical impact, but let's say you're driving at a high speed and you suddenly stop, your head, your body is still moving. So even though your skull might stop, your brain inside your skull is still moving forward. - My mom would put the arm over my chest to keep me in my seat, but your brain doesn't have that. - Exactly, your brain does not have that protected force. It lands or hits against the skull. That then leads to the real danger, which are concussions. Many people come into the emergency room looking, for example, for signs of a concussion. This is a separate point, but an important one to acknowledge. And it really comes down to an exam. When you have symptoms of a concussion, let's say you get struck and you have any confusion, changes in vision, that is the risk there. There's a CT scan is often done at CAT scan to rule out big things like bleeds, but a concussion is not something you can see on a CAT scan. And so that's why a lot of this research is done to try to prevent these events from happening in a first place. - But so then what this study is saying is, if you were really worried about rotational force and hits the side of the head and wrenching your neck as the hit is happening, this is almost saying a jab between the eyes or something that hits you right on the crown of the helmet or something, that can almost be where so much of the damage is coming from. - It's saying essentially from this study that that square hit is what is a higher risk of a concussion. And so that helps researchers to understand, but most importantly, that translates to, wait, are the helmets doing the best job in preventing the most dangerous impacts? - Yeah, that's my question. Dr. Sutton is, I feel like now we've got decades of sort of legislating, I'm thinking of football specifically, but you can apply this to soccer, you can apply this to a lot of sports, of we're going to penalize these hits because they're so dangerous. Or we're gonna build a whole industry of equipment centered around what we think will help the head. Is all that start to get re-examined now? - Absolutely, in the study, they also re-examined it by adding an additional factor here. They use a special type of helmet with a form of liquid in it and the goal of that special helmet that was using this study was to try to prevent those forces that they had identified as a high-risk force. That's that Sutton straight to the head hit forward or backward. And it was found in this study that while using these special types of helmets that are not used on the field or on professional football, by using these special helmets, they were actually able to reduce the risk of concussion. I'll be it, this is a study, this is not real life, but it shows us that there's something to be said about the fact of whether or not our helmets that we're using are the safest that we can get. - Yeah, that's a thing. I feel like people are not gonna take this study and go, well, let's be less careful around the sides of the head. Instead, they will probably say, why don't we really focus on the front and the back in the center of the head. Dr. Darian Sutton, really interesting. Thank you. - Of course. - Okay, one more quick break. When we come back in the world of Bruce Springsteen, you can go from the glory days to badlands in a hurry. One last thing is next. Today, I wanna tell you about our friends at Lug. If you're traveling the season, whether you're seeing family or catching some sun in a tropical destination, Lug can help you and your essentials get everywhere you need to go. Lug makes sturdy, premium quality, hard-sided wheelie bags for all kinds of travel. 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Well now, some of his biggest fans might be breaking up the band. ♪ 'Cause the story's like us, baby, we want to ride ♪ - Roos Springsteen, the boss, the pride of New Jersey, the man behind hits like Born to Run and Dancing in the Dark, has ever really had an organized worldwide fan club the way some modern groups do. Instead, he's got the spring nuts. (upbeat music) - Good evening, my fellow spring nuts, and welcome back to another exciting episode of the Spring Nuts Cafe. This is Howie Chaz, who along with his wife Julie, has run the fan group known as the Spring Nuts for decades, about 18,000 members now who live all over the country, but who get together every year in Where Else, as Berry Park, New Jersey. The boss even drops in virtually sometimes. - Spring Nuts, spring Nuts, I thank you for gathering here at the pony on this momentous occasion. - But yesterday, Howie and Julie announced they will no longer be devoting their page to Springsteen, why politics? (upbeat music) - For years, there was a simple rule on this Facebook page, no partisan politics allowed. And recent days around the midterms, they say, that clearly became too much for some members to handle. Quote, as the world grew increasingly divisive, hostile, those tensions inevitably spilled into our little corner of the East Street world. And, quote, what makes this so strange and predictable, though, is that the group's namesake himself is one of the most openly political music artists in the country. - On November 5th, I'm casting my vote for Kamala Harris and Tim Waltz. - For years, Springsteen has openly supported democratic candidates. He's publicly castigated Trump on his own world tour. - The America I've written about that has been a beacon of hope and liberty for 250 years is currently in the hands of a corrupt and competent and treasonous administration. I mean, when your idol is saying that, good luck telling your fellow fans to keep their politics to themselves. But when Springsteen endorsed Abdul El-Sahed in the Michigan Senate race, something seemed to break. (upbeat music) The chases, who were Jewish, felt uncomfortable with El-Sahed's words about synagogue attacks and his appearances with the controversial streamer, Hassan Piker. El-Sahed has since apologized for his words and denounced some of Piker's comments about 9/11. But eventually, the chases said they were spending more time litigating political arguments with fellow fans than celebrating the music. So that's what they say they'll do now. They're gonna keep the Facebook group going, but it won't be called the spring nuts. It won't even be devoted to Springsteen. It will instead spotlight local music around Asbury Park. But they also make it clear they will never stop thanking Springsteen and the East Street Band for bringing them so much joy. It's the fan community they said that's proven hurtful. [BLANK_AUDIO] Maybe some other lyrics written by the boss are true. Everything dies, baby. That's a fact. But maybe everything that dies someday comes back. (upbeat music) There is something about fan culture that you just want to protect at all costs, right? Like everyone is bonding over one shared interest as a matter who you are where you're from, but the real world also exists, right? These conversations have not yet infiltrated my backgammon club meetups, but I dread the day they do. More on all these stories on ABC News Live or every stream live news. I'm Brad Milky, see you tomorrow. (upbeat music) - Hey everyone, listen to the All's Fair Official Podcast. I'm your host, Evan Ross Kats. We'll sit down with the cast and unravel all of the irresistible drama of season two. - People don't know the half of what goes on. - We wanted to die. - Okay guys, let's give it to them. - Watch and listen to the All's Fair Official Podcast available on Hulu, Hulu on Disney Plus, and wherever you get your podcasts. And don't miss All's Fair season two, now streaming with Hulu and Hulu on Disney Plus for Bundle subscribers. Terms apply. Plus, a can't miss tribute to Dolly Parton. - I'd like to think that I've been in inspiration. - Lily Wilson hosts the CMA Awards Live Wednesday on ABC and Disney Plus.