Nvidia partners with South Korean government, companies to boost AI development

In a landmark collaboration, Silicon Valley-based chipmaker Nvidia has announced plans to supply hundreds of thousands of its advanced graphics processing units (GPUs) to South Korea, aiming to bolster the nation’s artificial intelligence (AI) infrastructure and technological capabilities. The agreement, unveiled on Friday, involves key South Korean entities such as Samsung Electronics, SK Hynix, and Hyundai Motor, alongside the South Korean government. The announcement followed a high-profile meeting between South Korean President Lee Jae Myung and Nvidia CEO Jensen Huang, who has been receiving celebrity-like attention during his visit to the country. Huang’s presence in South Korea coincides with the Asia-Pacific Economic Cooperation (APEC) forum in Gyeongju, where the nation is showcasing its AI ambitions. According to the agreement, Nvidia will provide approximately 260,000 GPUs, with 50,000 units allocated to a government initiative to establish a national AI cloud computing center. Samsung and SK Hynix will each receive 50,000 GPUs to enhance their manufacturing processes and accelerate the development of cutting-edge semiconductors. Additionally, Hyundai and Nvidia will collaborate on self-driving cars, smart factories, and robotics, powered by 50,000 of Nvidia’s latest Blackwell GPUs. This partnership underscores Nvidia’s pivotal role in the global AI industry, as the company recently became the first to reach a $5 trillion valuation, driven by the AI boom. However, concerns about a potential AI bubble persist, with warnings from financial institutions about the sustainability of tech stock prices fueled by AI hype.