The $500B+ deal covers HBM4 memory supply and a 2-gigawatt Korean data centre. Vera Rubin chips anchor the buildout, locking in demand for Nvidia's next-gen architecture years before shipment.
NVIDIA and South Korea's SK Group on Friday announced a more than $500 billion AI initiative covering large-scale data centres and next-generation memory, the companies said.
The partnership includes a long-term deal with SK Hynix to secure supply of high-bandwidth memory for Nvidia's AI training, agents, and physical AI applications. Separately, SK Telecom plans to build a 2-gigawatt AI data centre powered by Nvidia's Vera Rubin chips and SK Hynix's HBM4 memory, with the first facility due online in 2027.
“South Korea has all the ingredients to become a global AI powerhouse – world-class networks and data centers, leadership in chip technology and vast industrial scale,” said Jensen Huang, founder and CEO of NVIDIA. “Together with SK Telecom and SK hynix, we are building a new generation of AI factories that will power Korea’s next wave of growth.”
SK Group Chairman Chey Tae-won said the country's competitiveness depends on how much intelligence it can produce, not just how effectively AI is used.
The announcements build on existing partnerships and coincide with South Korean President Lee Jae Myung's visit to the US. Lee attended events in Silicon Valley and unveiled a "San Francisco AI Declaration" outlining technological cooperation with the United States. He separately met with Huang, OpenAI CEO Sam Altman, Anthropic CEO Dario Amodei, and Broadcom CEO Hock Tan.
The deal gives Nvidia a committed buyer for its Vera Rubin architecture and HBM4 memory, locking in demand for chips that won't ship for years. For SK Hynix, the arrangement secures a revenue stream for HBM4 production lines the company is already building out. The 2-gigawatt data centre alone would consume more power than many small cities, making it one of the largest single AI infrastructure projects announced to date.
Nvidia shares closed down 0.92% at $206.84 on Friday. The stock carries an Alpha Score of 74 out of 100, labelled Moderate.
Nvidia and SK Group did not disclose a timeline for the full $500 billion commitment or how the investment will be split between the two companies.
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