Nvidia Lands $5 Trillion Deal to Supply 260,000 AI Chips to South Korea’s Top Tech Firms

Benjamin Bell
5 Min Read

US semiconductor leader Nvidia will supply over 260,000 advanced AI chips to the South Korean government and major conglomerates, including Samsung Electronics, SK Group, Hyundai Motor Group, and Naver.

This deal reinforces Nvidia’s central role in the global AI surge, shortly after it became the world’s first $5 trillion company. For South Korea, the partnership supports President Lee Jae Myung’s goal to position the nation as a leading AI hub and boost growth amid US tariff uncertainties.

“Just as Korea’s factories have impressed the world with ships, cars, and electronics, the country can now export intelligence to drive global transformation,” said Nvidia CEO Jensen Huang.

AI Infrastructure and Industry Collaboration

The announcement came after a high-profile meeting in Gyeongju during the APEC summit, where Huang met President Lee and leaders from Samsung, SK Group, and Hyundai.

Under the agreement, South Korea’s government will use 50,000 of Nvidia’s latest chips to boost national AI infrastructure. Samsung, SK, and Hyundai will each deploy up to 50,000 chips for smart factories, semiconductor production, and vehicle manufacturing, while Naver will acquire 60,000 chips to enhance cloud computing and AI development.

The government plans to expand its National AI Computing Centre in partnership with Naver and Kakao, leveraging Nvidia hardware to accelerate research and innovation. Hyundai also revealed plans to build a supercomputer dedicated to autonomous driving, robotics, and in-vehicle AI systems in collaboration with Nvidia.

Read More: Samsung Boosts Advanced Chip Production as Memory Chip Sales Reach Record High

Tech Titans Toast the Deal over Fried Chicken and Beer

Before the official announcement, Huang made headlines with a casual outing, sharing fried chicken and beer with Samsung chairman Lee Jae-yong and Hyundai executive chair Chung Eui-sun at Seoul’s popular Kkanbu Chicken.

The trio, with a combined net worth of over $195 billion, drew a crowd as they enjoyed cheese sticks, boneless chicken, and soju, linking arms for a toast. When Huang rang the restaurant’s “golden bell” to pay for all diners, the crowd cheered, though local reports noted Samsung’s Lee settled the bill, with Hyundai’s Chung covering the next round.

“I love fried chicken and beer with my friends, so Kkanbu is perfect,” Huang told livestreaming passersby.

The lively scene, just before the APEC summit, symbolized the growing partnership between Nvidia and South Korea’s tech giants—an alliance poised to influence the next phase of the global AI revolution.

Frequently Asked Questions

What deal did Nvidia make with South Korea?

Nvidia agreed to supply over 260,000 advanced AI chips to South Korea’s government and major conglomerates, including Samsung, SK Group, Hyundai, and Naver.

How much is the Nvidia-South Korea deal worth?

The deal follows Nvidia becoming the world’s first $5 trillion company, though exact financial details of the chip supply were not disclosed.

What will the AI chips be used for?

The chips will power smart factories, semiconductor production, vehicle manufacturing, cloud computing, AI research, and autonomous driving systems.

Which South Korean companies are involved?

Samsung Electronics, SK Group, Hyundai Motor Group, and Naver are part of the collaboration, deploying Nvidia’s AI chips for various industrial and research projects.

How is the South Korean government contributing?

The government will invest 50,000 AI chips into national AI infrastructure and expand the National AI Computing Centre with Naver and Kakao.

Why is this deal important for South Korea?

It strengthens South Korea’s position as a global AI hub and supports President Lee Jae Myung’s goal of boosting AI-driven innovation and economic growth.

Did Nvidia executives have any notable public interactions?

Yes, CEO Jensen Huang shared fried chicken and beer with Samsung’s Lee Jae-yong and Hyundai’s Chung Eui-sun, symbolizing camaraderie and the growing tech partnership.

Conclusion

Nvidia’s landmark deal with South Korea marks a pivotal moment in the global AI race, strengthening partnerships with major tech giants and advancing the nation’s AI infrastructure. By supplying over 260,000 advanced AI chips, Nvidia not only cements its leadership in artificial intelligence but also supports South Korea’s ambition to become a global AI hub. This collaboration signals a new era of innovation, industrial growth, and international tech cooperation.

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Benjamin Bell is the founder and admin of FinanceProper, dedicated to delivering clear, data-driven financial insights and global news. With a passion for making complex finance understandable, he leads the team in empowering readers to make smarter financial decisions.
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