Nvidia signs $500 billion AI partnership with SK Hynix

Nvidia signed a long-term agreement with South Korea's SK Hynix to secure a stable supply of advanced AI memory, as the chipmaker expands its artificial intelligence infrastructure amid growing global demand.

The company said the partnership, valued at up to $500 billion over several years, also includes plans to build large-scale AI data centres expected to begin operating in 2027.

Deal strengthens Nvidia's AI supply chain

The agreement gives Nvidia access to high-bandwidth memory (HBM), a critical component used in its graphics processing units (GPUs) and AI systems.

HBM has become one of the most sought-after technologies during the AI boom, with analysts identifying SK Hynix as the global leader in its production.

Nvidia Enterprise Vice President Raj Mirpuri said the partnership would also allow both companies to collaborate on next-generation AI memory while ensuring a stable long-term supply.

Data centre expansion planned

As part of the deal, SK Telecom, an affiliate of SK Hynix, will build a cloud computing business using Nvidia's Vera Rubin AI systems.

Nvidia said the planned infrastructure will require around two gigawatts of power, indicating a massive deployment involving hundreds of thousands of GPUs.

The announcement was made during an AI summit in San Francisco attended by South Korean officials, including President Lee Jae Myung.

Samsung and Broadcom announce separate AI partnership

Separately, Samsung Electronics said it had signed a memorandum of understanding with Broadcom to expand collaboration on memory and foundry technologies.

Samsung said the agreement, estimated to be worth $200 billion, is intended to support the next generation of AI infrastructure.

Nvidia also announced a $1 billion investment in South Korean cloud company Naver, which is building AI data centres powered by Nvidia's GPUs to provide additional computing capacity for customers worldwide.