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Nvidia, SK Group unveil $500B+ AI data centers and memory initiative

Created at 25 Jul · 12:01 AM1 source↑ Market-relevant
IN SHORT

Nvidia and South Korea's SK Group announced a multi-billion dollar initiative focused on AI data centers and next-generation memory. The partnership includes SK Hynix supplying advanced memory for Nvidia and joint development of high-bandwidth memory for AI applications. SK Telecom plans to build a 2-gigawatt AI data center by 2027.

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Key Numbers

$500 billionAI initiative scale
2-gigawattSK Telecom AI data center capacity
2027First AI data center facility online

Who's Involved

Nvidia
Technology company unveiling AI initiative and data center plans
SK Group
South Korean conglomerate partnering on AI initiative and memory
SK Hynix
Semiconductor company involved in memory supply and development
SK Telecom
Plans to build a 2-gigawatt AI data center
Naver
Expanding AI data center in South Korea with Nvidia and Brookfield
Brookfield
Partnering to expand Naver's AI data center
Yoon Suk Yeol
President of South Korea, met with Nvidia CEO to discuss AI investment
Jensen Huang
CEO of Nvidia, announced partnership scale and plans
Chey Tae-won
Chairman of SK Group, announced deepening cooperation
Nvidia, SK Group unveil $500B+ AI data centers and memory initiative

↳ Why This Matters

This multi-billion dollar initiative between Nvidia and SK Group signals a major push to advance AI infrastructure and memory technology, potentially solidifying South Korea's role as a global AI hub and driving innovation in AI applications.

Key facts

  • Nvidia and SK Group are launching an AI initiative valued at over $500 billion.
  • The partnership involves SK Hynix supplying next-generation memory and co-developing high-bandwidth memory for AI.
  • SK Telecom will build a 2-gigawatt AI data center, with the first facility expected online in 2027.
  • Nvidia, Naver, and Brookfield will expand Naver's AI data center in South Korea.
  • Nvidia plans to establish an AI Frontier Lab in Korea for research and development.

Nvidia and South Korea's SK Group have announced a significant AI initiative valued at over $500 billion, focusing on the development of large-scale AI data centers and next-generation memory technologies. This collaboration aims to bolster South Korea's position in the global AI landscape.

The partnership includes a long-term commitment from SK Hynix to supply Nvidia with advanced memory components and to jointly develop high-bandwidth memory (HBM) crucial for AI training, AI agents, and physical AI applications. SK Telecom is set to construct a 2-gigawatt AI data center, utilizing Nvidia's Vera Rubin chips and SK Hynix's HBM4 memory, with the first facility scheduled to be operational by 2027.

In parallel, Nvidia is expanding its collaboration with Naver and Brookfield to enhance Naver's AI data center capabilities in South Korea. South Korean President Yoon Suk Yeol met with Nvidia CEO Jensen Huang to discuss these investments, emphasizing the nation's commitment to becoming an 'AI Native Nation.' Huang indicated plans for semiconductor partnerships with Samsung Electronics and SK Hynix, substantial investments in Naver, and cooperation with Hyundai Motor Group on autonomous driving and robotics.

Nvidia also intends to establish an AI Frontier Lab in Korea, bringing leading AI researchers to collaborate with KAIST on developing AI models tailored for the Korean market. This initiative signifies a broad commitment to building AI infrastructure, from chip development to AI applications, across various sectors and research organizations.

Frequently asked questions

The initiative is valued at more than $500 billion.

The partnership focuses on large-scale AI data centers and next-generation memory, including a long-term agreement with SK Hynix for memory supply and joint development of high-bandwidth memory.

The first facility is due to come online in 2027.

SK Hynix will supply next-generation memory for Nvidia and jointly develop high-bandwidth memory for AI training and applications.

What Happens Next

01First SK Telecom AI data center facility to come online in 2027.
02Nvidia to establish an AI Frontier Lab in Korea.
03Joint development of high-bandwidth memory for AI applications.

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How It Developed

Nvidia and SK Group unveiled a more than $500 billion AI initiative.
The initiative includes a long-term partnership with SK Hynix for next-generation memory supply and joint development of high-bandwidth memory.
SK Telecom plans to build a 2-gigawatt AI data center powered by Nvidia chips and SK Hynix memory, with the first facility online in 2027.
Nvidia, Naver, and Brookfield plan to expand Naver's AI data center in South Korea.
President Yoon Suk Yeol met with Nvidia CEO Jensen Huang to discuss expanding AI investment and collaboration in South Korea.
Huang announced the SK Group and NVIDIA partnership is expected to reach $500 billion.
Plans include semiconductor partnerships with Samsung Electronics and SK Hynix, investments in Naver, and cooperation with Hyundai Motor Group.
Nvidia plans to establish an AI Frontier Lab in Korea with leading AI researchers to collaborate with KAIST.
Sponsored

London Quick Take - 22 July - UK inflation softens, oil rises and chips rally ahead of Alphabet, Tesla earnings

SAXO

Sources

T1
Nvidia, SK Group unveil $500 billion-plus AI data centers initiative, memory partnershipReuters
T2
President Yoon Meets Jensen Huang, Announces $500 Billion SK-NVIDIA Partnership | Aju Pressajupress.com
T2
Nvidia, SK Group unveil $500 billion-plus AI data centers initiative, memory partnershipau.marketscreener.com
T2
SK, Nvidia expand chip alliance into AI infrastructure - The Korea Heraldkoreaherald.com

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