The announcement was made on the sidelines of the APEC Summit held in South Korea, where Nvidia announced a series of cooperation agreements with four of the country's largest corporations, including Samsung Electronics, SK Group, Hyundai Motor Group and NAVER Cloud - a leading cloud computing provider, equivalent to Amazon Web Services or Google Cloud.

According to Nvidia, after these agreements, the total number of its AI chips used in South Korea will increase more than fourfold, from 65,000 to more than 300,000 chips. The company did not disclose the contract value or detailed implementation time, but affirmed that this is part of the national strategy on sovereign AI - a global trend when countries want to be autonomous in AI infrastructure and models.

Nvidia predicts the sovereign AI market will reach $1.5 trillion in the next few years. In its second-quarter financial report released in August, the company said national AI projects could contribute more than $20 billion in revenue by fiscal year 2026.

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From left: Hyundai Motor Chairman Chung Eui Sun, Samsung Electronics Chairman Lee Jae Yong, Nvidia CEO Jensen Huang. Photo: Chosun Daily

This initiative is considered a strategic move by Nvidia in the context of the US-China trade conflict that has caused the company to almost lose the entire Chinese market, which used to account for 25% of global revenue. According to analyst Gil Luria of DA Davidson, “ to maintain growth, Nvidia needs to expand strongly into other markets to develop the AI ​​data center segment”.

Specifically, under the new cooperation framework, Samsung, SK Group and Hyundai will build their own “AI factories”, each deploying about 50,000 GPUs (graphics processors used for AI). Naver Cloud will expand its AI infrastructure with 60,000 GPUs. Meanwhile, the Ministry of Science and ICT of Korea (MSIT) will purchase an additional 50,000 GPUs from NVIDIA in the next few years, through the national computing center and in cooperation with businesses such as NHN Cloud and Naver Cloud. The ministry will also use Nvidia software to develop national AI models.

These deals will help domestic businesses and organizations build AI cloud computing infrastructure right in Korea, instead of relying on outside resources, said Raymond Teh, Nvidia's vice president of Asia- Pacific business.

Hyundai Motor Group will use Nvidia's Blackwell GPU chips in its AI factory to accelerate the development of self-driving cars and smart robots. SK Telecom, a subsidiary of SK Group, will deploy Nvidia GPUs to develop industrial AI computing infrastructure for the Asian region.

Samsung Electronics and SK Hynix will leverage Nvidia's chips and AI systems to optimize semiconductor chip design and manufacturing. Notably, SK Hynix is ​​currently the largest memory supplier for Nvidia's AI systems, alongside Micron (USA), while Samsung also supplies memory components to the company.

Analysts say South Korea - with its world-leading semiconductor, automobile and robotics industries - is becoming one of Nvidia's strategic hubs in Asia and the "AI Kkanbu" alliance between NVIDIA, Samsung and Hyundai could be the start of a comprehensive AI ecosystem in South Korea.

(According to Yahoo Finance)

Jensen Huang drinks beer and eats fried chicken with Samsung and Hyundai Chairman The meeting between the powerful trio of Nvidia CEO Jensen Huang and Samsung Electronics Chairman Lee Jae Yong and Hyundai Motor Chairman Chung Eui Sun at a popular fried chicken and beer restaurant in Korea is attracting attention.

Source: https://vietnamnet.vn/nvidia-ban-260-000-chip-ai-cho-han-quoc-2458516.html