Nvidia Partners with South Korea to Propel AI Infrastructure

Fri Dec 05 2025 04:21:26 GMT+0200 (Eastern European Standard Time)

Nvidia signs significant deals with South Korean tech giants to supply advanced AI chips, further establishing its presence in the Asian market and boosting the country's ambitions to become a regional AI hub.

Nvidia has announced partnerships with South Korean companies including Samsung, LG, and Hyundai to supply over 260,000 of its advanced AI chips. This move coincides with Nvidia becoming the first company to reach a market valuation of $5 trillion. The strategic deals aim to strengthen South Korea's position as a leader in AI technology amidst ongoing global trade challenges.

Nvidia, the US chip giant, has forged a monumental partnership with South Korea, distributing more than 260,000 of its cutting-edge artificial intelligence (AI) chips to key local players including the government, Samsung, LG, and Hyundai.

This collaboration aims to deploy the AI chips across various sectors such as semiconductors, robotics, and autonomous vehicles, which Nvidia's CEO Jensen Huang emphasized as a leap towards South Korea cultivating 'intelligence as a new export.'

Despite the financial specifics of these agreements remaining undisclosed, this marks a significant development in the context of Nvidia's recent achievement of becoming the first company ever to be valued at $5 trillion. Concurrently, signs of improved US-China trade relations could pave the way for Nvidia to expand its market presence in China.

During a CEO summit amid the Asia-Pacific Economic Cooperation (APEC) in Gyeongju, Huang noted that the chips would enable South Korean firms to create 'digital twins' in factories globally. Such technology integration aims to solidify Nvidia's role in enhancing AI infrastructure worldwide.

These developments come at a critical juncture for Nvidia, as it navigates the complexities posed by the US-China trade tensions. Huang expressed disappointment at losing access to the Chinese market, which previously accounted for a significant revenue share.

In response to the challenges, South Korea is positioning itself as a key player in AI technology. The government, led by President Lee Jae Myung, is determined to build a self-sufficient AI infrastructure, termed 'sovereign AI.' This strategic approach includes plans to establish data centers powered by thousands of Nvidia chips.

With emerging partnerships solidifying its global footprint, Nvidia is not only adapting to regional needs but also potentially reclaiming its broader influence in the AI sector, particularly in relation to China and its evolving technology landscape.