Nvidia is investigating whether its Chief Executive Officer Jensen Huang was targeted by Chinese intelligence through a personal relationship, bringing renewed attention to allegations of honeytrapping and corporate espionage.
According to The New York Times, United States (US) intelligence suspects that Alice Huang, a former executive at Singapore-based chip company Megaspeed, was recruited by China's Ministry of State Security to cultivate a relationship with Huang and gather information about him. Meanwhile, Megaspeed has come under scrutiny over allegations that it helped Chinese entities access Nvidia AI chips restricted under US export controls. Huang has also acknowledged being unfaithful to his wife and apologised to his family and colleagues.
China has rejected the allegations, with Foreign Ministry spokesperson Guo Jiakun calling the claims of a Chinese spy plot against Huang "unsubstantiated" and a smear campaign against Beijing.
The allegations come amid intensifying competition between the US and China over artificial intelligence and semiconductor technology, where access to sensitive information and influential business networks can offer a significant strategic advantage.
What is honeytrapping?
Honeytrapping is an intelligence-gathering technique in which an individual uses romantic or intimate relationships to gain access to confidential information, influence decisions or compromise a target.
The person being targeted may be a government official, corporate executive, scientist or employee with access to sensitive information. Rather than relying on conventional surveillance, the operation uses emotional attachment, trust or the possibility of blackmail to achieve its objectives.
However, honeytrapping does not always involve stealing classified documents. It can also involve cultivating an influential relationship to shape business decisions, secure introductions or gain access to important networks.
While the Nvidia allegations have brought honeytrapping back into the spotlight, several other cases illustrate the different methods used to obtain sensitive information or cultivate political influence. Not all these cases involved proven honeytrapping operations.
Major China-linked honeytrapping and influence cases
1. Christine Fang, a Chinese national suspected by US intelligence of working for China's Ministry of State Security, allegedly cultivated relationships with American politicians to gain access to influential political circles.
According to an investigation by Axios, she built connections with local and national politicians through fundraising, networking and personal relationships. She reportedly had romantic relationships with at least two Midwestern mayors and developed links with then-Congressman Eric Swalwell.
The FBI reportedly alerted Swalwell to its concerns in 2015, after which he cut off contact with Fang.
2. Benjamin Bishop, a former US Army lieutenant colonel and civilian defence contractor at US Pacific Command, was sentenced to 87 months in prison in September 2014 for sharing classified military information allegedly with a 27-year-old Chinese woman with whom he was romantically involved.
The two reportedly met at a military-related conference in Hawaii. Bishop emailed her classified information concerning US military planning and joint operations with South Korea. He also removed classified documents from his workplace.
Bishop pleaded guilty to communicating classified national defence information to an unauthorised person and unlawfully retaining classified documents.
3. Another prominent case involving personal relationships dates back to 2003, when the FBI arrested Katrina Leung, a Chinese-American businesswoman accused of passing classified information to China.
According to the Center for Strategic and International Studies (CSIS), Leung had persuaded an FBI agent to share classified information with her over a period of 10 years, which she then passed to China. The case illustrated how personal relationships could be exploited to obtain sensitive intelligence.
4. A 2024 Financial Times report highlighted questions raised by French lawmakers over marriages between Chinese female students and sailors stationed at French naval bases in Brest. The relationships prompted concerns about possible intelligence-gathering activities, although they were not established as honeytrap operations.
As competition between countries increasingly extends to technology and commercial capabilities, companies have become targets for attempts to obtain proprietary research, trade secrets and technological expertise. Such activities fall under the broader practice of corporate espionage.
What is corporate espionage?
Corporate espionage involves the covert or illegal acquisition of confidential business information, intellectual property, trade secrets or technological expertise to gain a competitive or strategic advantage.
Unlike conventional industrial competition, it involves methods such as hacking, insider recruitment, employee poaching and unauthorised access to proprietary research.
Some notable cases with Chinese-links include:
1. In 2018, the US Department of Justice charged Chinese state-owned semiconductor company Fujian Jinhua, Taiwan-based United Microelectronics Corporation (UMC) and three individuals with conspiring to steal trade secrets from US chipmaker Micron Technology.
The former Micron employees downloaded confidential files containing information about the design and manufacture of dynamic random-access memory (DRAM) chips before moving to UMC. One employee reportedly downloaded more than 900 confidential files.
The alleged objective was to transfer Micron's technology to Jinhua, helping it develop advanced memory chips without years of independent research and development.
2. In May 2022, cybersecurity firm Cybereason reported that a Chinese state-linked hacking group, identified as APT41, had conducted a prolonged cyber espionage campaign against around 30 multinational companies.
Dubbed Operation CuckooBees, the campaign allegedly targeted businesses in the manufacturing, energy and pharmaceutical sectors across North America, Europe and Asia.
According to CBS News report, the hackers stole hundreds of gigabytes of sensitive information, including engineering blueprints, manufacturing designs, pharmaceutical research and proprietary formulas. The estimated value of the intellectual property stolen ran into trillions of dollars.
The scale of Chinese espionage is also reflected in a survey by the CSIS, which identified 224 publicly reported incidents targeting US since 2000. Of these, 54 per cent sought commercial technologies, while 46 per cent involved cyber espionage. The survey also highlighted the continued use of traditional recruitment methods, including intimate relationships and financial incentives, to obtain sensitive information.
 "From Nvidia to Micron: Major China-linked espionage cases under scrutiny")
Connect with us on WhatsApp