Nvidia has sealed a massive partnership with South Korea's SK Group valued at over $500 billion, aiming to tackle the global shortage of high-bandwidth memory (HBM) critical for AI computing.
The deal includes a commitment from SK Telecom, an SK Group affiliate, to build a 2-gigawatt AI factory using Nvidia’s Vera Rubin accelerated computing systems powered by SK Hynix’s cutting-edge HBM4 memory. This facility is scheduled to start operations in 2027, marking a significant expansion of AI infrastructure in Asia-Pacific.
Raj Mirpuri, Nvidia’s enterprise vice president, revealed that the collaboration will extend to co-developing next-generation AI memory solutions beyond HBM4, ensuring Nvidia secures a stable and advanced memory supply for its growing AI demands.
Investment in Korean Data Centers and Regional AI Growth
Beyond the factory, Nvidia is also investing $1 billion into Naver, a South Korean cloud provider. This move is designed to expand data center capacity to 200 megawatts, granting clients in South Korea and worldwide faster access to powerful AI resources.
Industry leaders highlighted the strategic importance of this partnership. Jensen Huang, Nvidia’s CEO, emphasized South Korea's potential as a global AI powerhouse thanks to its strong networks, semiconductor technology, and industrial manufacturing capabilities. SK Group Chairman Chey Tae-won commented on the critical role production capacity plays in AI competitiveness.
In a related development, Samsung Electronics inked a $200 billion memorandum with Broadcom targeting enhanced collaboration on memory and foundry technologies, signaling broader momentum in the region’s semiconductor space.
