Key facts
- Nvidia announced new AI data center deals with SK Hynix, Naver, LG Group, and Doosan Group.
- SK Hynix signed a multi-year technology partnership to develop advanced memory chips for global AI data centers.
- SK Telecom will build a gigawatt-scale AI cloud in South Korea using Nvidia technology, with the first data center operational by 2027.
- Nvidia is collaborating with LG Group on humanoid robots and future data center designs.
- Samsung Electronics' chip division discussed cooperation on next-generation foundry chips and HBM4E/HBM5 with Nvidia.
- South Korea's tech ministry plans to secure 9,704 GPUs for a state AI project.
Nvidia has announced a series of new artificial intelligence-focused deals in South Korea with major tech companies, including SK Hynix, Naver, LG Group, and Doosan Group. These agreements aim to secure crucial memory chips to power Nvidia's AI ambitions and expand its customer base.
During his visit to South Korea, Nvidia CEO Jensen Huang confirmed SK Hynix as the company's largest memory partner, signing a multi-year technology partnership. SK Hynix will develop advanced memory chips for global AI data centers, with Huang noting that the company's planned capacity increase by 2030 might still be insufficient for surging AI demand. He stated that Nvidia already procures billions of dollars worth of chips annually from SK Hynix, a figure expected to grow substantially.
SK Telecom, another SK Group affiliate, will construct a gigawatt-scale AI cloud in South Korea utilizing Nvidia technology, with the first AI data center slated to become operational in 2027. Naver and Doosan Group will also leverage Nvidia's technology for their AI data centers. Doosan, which produces materials for Nvidia's Blackwell chips, expects its energy solutions to be integrated into Nvidia's data center platforms.
Nvidia is also expanding its collaboration with LG Group, focusing on electronics, mechanical systems, and AI for humanoid robots, as well as the architecture of future data centers, including cooling and power delivery. Huang also indicated a deepening partnership with Hyundai Motor Group across various AI initiatives, such as autonomous mobility, robotics, and AI-powered manufacturing, referring to Hyundai's planned AI data center as an "AI Valley."
Samsung Electronics' chip division chief discussed future cooperation on next-generation foundry chips, including HBM4E and HBM5, with Nvidia. South Korea's tech ministry announced plans to acquire 9,704 GPUs, including 2,016 of Nvidia's Vera Rubin GPUs, for a state AI project valued at 2.08 trillion won in 2026.
Despite the flurry of deals, shares of Samsung and SK Hynix experienced significant drops on Monday, closing down 10.2% and 7.7% respectively, amid a broader global tech stock rout triggered by robust U.S. jobs data fueling bets on a Federal Reserve rate hike. Huang, however, expressed optimism, suggesting the price drop offered a buying opportunity due to the bright future of AI.