Nvidia did not have a chief compliance officer, despite its market capitalization of $4.2 trillion
An analysis of Nvidia’s code of ethics revealed that the company does not have a dedicated chief compliance officer (CCO) or its own compliance department. This case raises questions about corporate governance in the technology sector, where rapid business growth is not always accompanied by the development of control systems and regulatory compliance.
The author of the article, who reviewed Nvidia’s code of ethics, drew attention to the absence of such a position. He noted that this is particularly telling given the company’s market capitalization, which, according to his data, stands at approximately $4.2 trillion.
In the author’s view, tech companies generally lag behind in compliance matters. He attributes this in part to startup culture: founders, focused on product development and market entry, often put corporate governance on the back burner.
The author also drew attention to the practice of preparing internal documents before raising capital. He observed that some companies hastily use artificial intelligence to generate a few pages of formal documents that do not provide a comprehensive compliance system.
He emphasizes that for sustainable business development, a promising idea and the desire to make money are not enough. Companies also need a strategic vision for corporate governance; otherwise, founders may eventually lose control over the businesses they have created.
Source: Nvidia
As a reminder, Nvidia CEO Jensen Huang has stepped down, and CFO Colette Kress will temporarily lead the company until a permanent successor is appointed.
Former Nvidia CEO Jensen Huang has agreed to testify before the U.S. Congress before Thanksgiving.
Nvidia has scheduled a general employee meeting for November 18—six days after the announcement of former CEO Jensen Huang’s immediate resignation. The company has appointed CFO Colette Kress as interim CEO.
In the U.S., Jensen Huang may lose approximately $108 million in stock-based compensation following his resignation from Nvidia, as the rights to those shares have not yet vested.
