Intel inside: Why Silicon Valley firms are hiring ex-spies to protect their secrets

The controversy surrounding former Nvidia CEO Jensen Huang and reports of a suspected Chinese intelligence operation involving Alice Huang, an executive at Singapore-based Megaspeed, has brought an uncomfortable question into focus: How vulnerable are Silicon Valley companies to foreign intelligence operations?

On November 8, Nvidia’s board said it was initiating an independent investigation into national security concerns raised by reports that Jensen Huang had been the target of a foreign intelligence effort. In a message to employees the same day, Huang said he would cooperate with the investigation. The board later appointed former acting US Attorney Joon H Kim to lead the probe. On November 12, Nvidia announced that Huang had resigned as CEO, without specifying a reason. China’s Foreign Ministry spokesperson Guo Jiakun rejected the espionage allegations on November 10, calling them unsubstantiated.

Also read: Why Trump may have shielded NVIDIA despite spy warnings

The episode has drawn attention to a threat that major technology companies based out of the US are increasingly trying to address by bringing intelligence expertise in-house. OpenAI, Anthropic and semiconductor equipment maker ASML are among the companies recruiting former intelligence officials or seeking specialists with counterintelligence experience.

OpenAI, for instance, is looking for a senior global security investigator to examine threats originating from employees, external actors and supply-chain partners. Its careers listing requires at least eight years of experience in areas such as counterintelligence, insider risk and forensic investigations, and puts the base salary at between $230,400 and $500,000, in addition to equity.

Threat of espionage goes beyond cybersecurity

The responsibilities outlined in OpenAI’s job advertisement extend beyond monitoring networks and preventing data breaches. The investigator is expected to examine insider threats, conduct interviews, analyse access records and investigate risks involving employees, external actors and suppliers.

Sensitive information need not always be obtained through a cyberattack. Employees with access to research, product plans and proprietary technology can also be approached, recruited or manipulated.

The US National Counterintelligence and Security Center (NCSC), in guidance issued to the space industry, identifies attempts to recruit technical experts through consultancy offers, travel invitations and financial incentives. It also warns about people seeking sensitive information through probing questions at conferences and online forums. Although the guidance is aimed at the space sector, the tactics it describes are relevant to companies handling valuable research and technology.

Also read: ‘Whatever’, ‘I don’t care’: A peek into Jensen Huang’s final hours before Nvidia exit

The FBI’s counterintelligence division identifies the acquisition of advanced technology and sensitive commercial information as objectives of foreign intelligence services. The bureau says it works with private-sector organisations to identify and disrupt such activities.

For security teams, this means assessing whether employees, researchers or executives are being targeted through their personal and professional relationships.

OpenAI, Anthropic, ASML bring in intel expertise

OpenAI appointed retired US Army General Paul Nakasone, a former director of the National Security Agency (NSA) and head of US Cyber Command, to its board in June 2024. In its announcement, the company said Nakasone would also join its Safety and Security Committee, which advises the board on critical security decisions.

Also read: Nvidia's interim CEO Colette Kress's Israel link and how she challenged Jensen Huang

Anthropic established its National Security and Public Sector Advisory Council in August 2025. In announcing the council, the company named David S Cohen, former deputy director of the CIA, and Dave Luber, former director of cybersecurity at the NSA, among its members. The council is intended to advise Anthropic on national security applications, public-sector partnerships and technology standards.

The trend extends beyond AI model developers. ASML, whose lithography machines are essential to advanced chip manufacturing, has advertised for a Regional Intelligence Liaison Officer based in Taiwan. The company’s job listing describes responsibilities that include developing security policies and conducting human and digital counterintelligence investigations. Experience in counterintelligence or human intelligence operations is listed as a preferred qualification.

What is Washington doing to counter corporate espionage?

The US government has also been pressing technology companies to address the threat.

In April 2026, Senators Jim Banks and Chuck Grassley sent letters to nine AI companies, including OpenAI, Anthropic, Google and Microsoft, raising concerns about Chinese espionage targeting the American AI sector. In a statement announcing the move, Banks said the senators wanted to know how companies detected foreign intelligence activity, managed insider threats, protected their AI models from theft and notified the government about security incidents.

In September, the Cybersecurity and Infrastructure Security Agency (CISA), the NSA and the FBI issued a joint advisory warning that China-based AI companies were using large-scale knowledge-distillation campaigns to extract capabilities from American AI models. The agencies urged developers to monitor suspicious activity and share threat intelligence across model providers, cloud platforms and API aggregators.

Also read: Elon Musk signs petition seeking Jensen Huang's reinstatement as Nvidia CEO

The Nvidia controversy has brought questions about government oversight into sharper focus. On November 11, US Senators Elizabeth Warren and Chris Coons asked senior Trump administration officials to preserve records relating to Nvidia’s chip exports, Megaspeed and the reported intelligence operation. Their letter cited reports that officials in the White House, State Department and Commerce Department had been aware of concerns involving the relationship. The senators also questioned whether appropriate counterintelligence measures had been taken and requested a briefing from the administration.

The letter underscores how concerns about the protection of advanced AI technology now extend beyond corporate security teams to the highest levels of government.