NVIDIA, SK Group announce $500B AI and semiconductor partnership

NVIDIA and SK Group announced a $500B+ partnership for AI and semiconductors. It includes SK Telecom building a massive AI Factory in South Korea and SK Hynix co-developing next-gen AI memory with NVIDIA to boost Korea's AI ecosystem.

NVIDIA and South Korea's SK Group have announced an artificial intelligence (AI) and semiconductor partnership worth more than USD 500 billion, spanning AI infrastructure and next-generation memory technologies.

Massive AI Factory in South Korea

Announcing the initiative in a post on X, NVIDIA said the collaboration includes plans by SK Telecom to build a 2-gigawatt NVIDIA Vera Rubin DSX AI Factory in South Korea to serve growing global demand for AI computing capacity. "SK Group and NVIDIA today announced a $500 billion-plus initiative spanning AI factories and next-generation memory," NVIDIA said. As part of the partnership, SK Telecom will develop the large-scale AI factory using NVIDIA's Vera Rubin DSX platform, which is designed to support advanced AI workloads and next-generation data centre infrastructure.

Next-Generation Memory Development

NVIDIA also said its memory partner, SK Hynix, will work with the US chipmaker to develop future AI memory technologies. "SK Hynix and NVIDIA will codevelop next-generation AI memory, including HBM," the company said in the post, referring to High Bandwidth Memory (HBM), a key component used in AI accelerators and high-performance computing systems.

Boosting South Korea's AI Ecosystem

The company said the initiative is aimed at strengthening South Korea's position in the global AI ecosystem by combining its strengths in telecommunications, semiconductors and industrial manufacturing. "Korea is ready to become a global AI powerhouse with world-class networks and data centers, leadership in chip technology and vast industrial scale," NVIDIA said.

Surging Global AI Investment

The announcement comes amid surging global investment in AI infrastructure as technology companies race to expand computing capacity and secure advanced semiconductor supply chains to meet rising demand for generative AI applications.

A Strategic Collaboration

The partnership brings together SK Telecom's data centre capabilities, SK Hynix's leadership in AI memory chips and NVIDIA's AI computing platforms, reflecting the growing strategic collaboration between chipmakers and infrastructure providers in the rapidly expanding AI market. (ANI)

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