CFO Colette Kress to engineer Ian Buck - who could succeed Nvidia CEO if he exits?

Nvidia CEO Jensen Huang could be ousted as per various reports

Nvidia's board is reportedly weighing the future of CEO Jensen Huang, turning the attention to who could take charge of the world's most valuable chipmaker if the 63-year-old executive is forced out or decides to step down.Two names have emerged as potential internal successors: Ian Buck, a veteran engineer who helped develop Nvidia's CUDA software platform, and Chief Financial Officer Colette Kress, who has been with the company for more than a decade, reported Reuters, citing internal sources. While Buck is seen as a possible long-term choice because of his technical expertise, Kress is being viewed as a candidate who could provide continuity in the immediate term.Nvidia's board was meeting on Wednesday to decide whether to oust Huang, a source familiar with the matter told Reuters. Separately, reports by Bloomberg and Semafor have indicated that the board is considering an interim chief while it looks for a permanent replacement, with some board members favouring Kress for the temporary role.Huang has never named a successor. The board is also said to be working with an external firm to identify potential candidates, with possibilities ranging from senior Nvidia executives to leaders outside the company.

Colette Kress or Ian Buck?

Kress, 59, is reportedly among the most prominent internal candidates for an interim appointment. She joined Nvidia in 2013 after holding senior finance positions at Microsoft, Cisco and Texas Instruments. As CFO, she regularly appears alongside Huang on the company's quarterly earnings calls, making her a familiar face to investors."Colette Kress is the obvious choice to steady the ship. She has been CFO for 13 years and fronts every earnings call alongside him, so she’s a familiar and trusted voice for the market at a time when it badly needs one," said Josh Gilbert, lead analyst at trading platform eToro.However, the permanent leadership role could call for someone with a stronger technical background, particularly given Nvidia's position in the artificial intelligence industry. "The permanent job is a different story, though, because Nvidia’s edge comes from its technology, and the board would likely want an engineer in the chair. Someone like Ian Buck, who led the software platform that keeps developers tied to Nvidia’s chips, is the sort of internal name you’d expect to come up," Gilbert added, as quoted by Reuters.Buck, now in his late 40s, joined Nvidia in 2004 and played a key role in developing CUDA, the software platform that has helped make the company's chips central to AI development. He currently manages Nvidia's AI hardware and software products as head of product for hyperscale AI.A Stanford PhD, Buck has also been involved in Nvidia's efforts to expand its AI computing capabilities. "If a transition becomes necessary then Ian Buck is the strongest long-term internal candidate given his role in creating CUDA and leading Nvidia’s hyperscale business," said Shay Boloor, chief market strategist at Futurum Equities.

External candidates and other possibilities

The search may not be limited to Nvidia's existing leadership. Arm CEO Rene Haas, a former Nvidia executive, has also been mentioned as a possible external candidate. Jeff Fisher, a 32-year Nvidia veteran, is another name being reportedly discussed. Huang's two children, who are both executives at the company, have also mentioned in speculation about possible successors.A banker working on semiconductor deals told Reuters that Haas made the most "logical sense" because of his profile and understanding of the chip industry.Boloor also identified Haas as an external candidate worth considering. However, appointing someone from outside Nvidia could present challenges given the company's scale and the specialised nature of its business.Some investors believe the board could opt for a shared leadership arrangement, at least during the transition. "The more realistic route is an interim leader from the long-serving inner circle, possibly as a co-CEO structure: one leader to steady the business and the finances, such as Colette Kress, alongside a product and technology leader, such as Ian Buck," said Armina Rosenberg, portfolio manager and co-founder at Minotaur Capital, which owns Nvidia shares.The succession debate comes as Nvidia faces scrutiny over reports of two alleged extramarital relationships involving Huang. He acknowledged in a letter to employees on Sunday, admitting he had been unfaithful to his wife and apologising for violating their trust.The latest allegations include a reported relationship with Nvidia vice president Kimberly Powell, who reports directly to Huang. The New York Times, citing five people who worked at the company, reported that the relationship had not been previously disclosed.

The reports have also raised questions about the company's workplace policies on conflicts of interest and personal relationships.The controversy has added to pressure on Nvidia shares. The stock lost around $430 billion in market value over Monday and Tuesday, falling a combined 9.5%. It recovered 2.9% during Wednesday's regular trading session before dropping more than 8% in after-hours trading following reports that the board was preparing to discuss Huang's future.Huang's leadership has been closely associated with the company's rise, making the prospect of a succession particularly significant for investors. "Jensen Huang is a rockstar in the industry. He’s outspoken and synonymous with the Nvidia brand, and a leader like that is very hard to replace," said Anna Wu, founder of Floodlines Research in Sydney.Bruce Zaro, managing director at Granite Wealth Management, also pointed to the scale of Huang's contribution. "He was the one who led the marvelous rise of Nvidia," he said, adding: "I guess the question would be, can someone step up if Jensen has to resign or is forced out?"Huang co-founded Nvidia in 1993 and built it into the world's dominant supplier of AI processors.