No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - Nvidia announced a series of partnerships in South Korea with companies including SK Hynix, SK Telecom, Naver, Doosan, LG Group and Hyundai Motor on Monday, as chief executive Jensen Huang looked to deepen the chipmaker's role in AI infrastructure, memory supply, robotics and industrial computing.
The deals were unveiled during Huang's high-profile visit to South Korea, where he met leading corporate executives including SK Group chairman Chey Tae-won, LG Group chairman Koo Kwang-mo and Hyundai Motor Group executive chair Euisun Chung.
The companies did not disclose financial terms.
The most significant agreement was a multi-year technology partnership with SK Hynix, one of Nvidia's most important suppliers of high-bandwidth memory chips used in AI accelerators.
SK Hynix said the partnership would focus on advanced memory for global AI data centres and help maintain stable supply despite long development cycles for next-generation chips.
"SK Hynix has been Nvidia's largest memory partner. SK Hynix will continue to be Nvidia's largest memory partner," Huang said after meeting Chey.
He said Nvidia already buys "billions and billions of dollars" of products from SK Hynix each year, and that the figure would grow substantially.
Huang added that the deal was for more than two years and included opportunities to extend.
The agreement came as memory suppliers were struggling to keep pace with AI demand.
SK Hynix and Samsung Electronics are the world's two largest memory chipmakers, and high-bandwidth memory has become a critical component in Nvidia's most advanced AI systems.
Nvidia also agreed deals to support AI data centre development in South Korea.
SK Telecom said it would build a gigawatt-scale AI cloud using Nvidia technology, with the first AI data centre expected to come online in 2027.
Naver and Doosan would also use Nvidia technology to build AI infrastructure.
Naver said it would collaborate with Nvidia on "AI factories" in South Korea, starting with a 55-megawatt expansion at its Gak Sejong data centre before scaling toward gigawatt levels using Nvidia's DSX platform.
Bloomberg said the project would use Nvidia's Nemotron 3 Ultra and Naver's HyperClova X models as part of an effort to support South Korea's sovereign AI ambitions.
Naver shares rose nearly 14% on Monday, sharply outperforming the wider Kospi.
Doosan, which develops robots and makes materials used in Nvidia's Blackwell chips, said it expected its energy technology to be used in Nvidia data centre platforms and that it would use Nvidia's physical AI technology.
Huang also said Nvidia was partnering with LG Group on electronics, mechanical systems and AI for humanoid robots, as well as on future data centre architecture including cooling, power delivery and design.
After meeting Hyundai's Euisun Chung, Huang said Nvidia would deepen its partnership with the automaker across autonomous mobility, robotics and AI-powered manufacturing.
He said the companies would work to bring AI to "all forms of mobility" and described Hyundai's planned AI data centre in Saemangeum as an "AI Valley" comparable to California's Silicon Valley.
Huang used the trip to emphasise South Korea's potential in robotics and physical AI.
He said before the announcements that robotics would be the country's "next major sector", given its strengths in manufacturing, mechatronics and artificial intelligence.
The South Korean government also said it planned to secure 9,704 GPUs for a state AI project worth KRW 2.08trn in 2026, including 2,016 of Nvidia's Vera Rubin GPUs.
The announcements came on a volatile day for South Korean technology shares.
The Kospi fell 8.3% after strong US jobs data revived expectations of a Federal Reserve rate hike and triggered a global technology sell-off.
Samsung shares closed down 10.2% and SK Hynix fell 7.7%.
Reporting by Josh White for Sharecast.com.
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.