Nvidia and South Korea's SK Group have entered a strategic partnership valued at $500 billion, aimed at building out next-generation AI infrastructure, according to Tom's Hardware.
The deal centers on three pillars: a long-term supply of advanced memory chips, a massive new AI data center, and future "AI factories." According to Tom's Hardware, the partnership includes plans for a 2-gigawatt AI data center and a sustained pipeline of next-gen memory.
Those commitments are spread across SK's various units. As reported by DQ India, the broader SK initiative spans an SK Telecom "AI Factory" of up to 2 gigawatts alongside a long-term AI memory partnership with SK hynix, one of the world's leading suppliers of the high-bandwidth memory that powers AI accelerators.
The collaboration is being described in gigawatt-scale terms, a measure of the enormous electrical capacity these AI computing hubs will draw. Simply Wall St framed the arrangement around "gigawatt-scale AI factories" and what they could mean for Nvidia's infrastructure strategy.
Separately, Nvidia plans to invest $1 billion in South Korean internet company Naver while expanding its accord with SK Group, according to Yahoo Finance.
Why it matters: The scale of the figure signals how central chipmaking and memory supply have become to the AI race — and it deepens Nvidia's ties to South Korea, home to some of the world's most important memory manufacturers, at a moment when securing that supply is as strategic as the chips themselves.