Nvidia CEO Jensen Huang has made his first visit to South Korea in fifteen years, signaling a new era of collaboration between the U.S. chipmaking powerhouse and Korea’s top technology leaders, Samsung, Hyundai Motor Group, SK Group, and Naver. His visit, held during the APEC Summit 2025, coincided with the announcement of an expanded partnership between Nvidia and the South Korean government to bolster the nation’s AI infrastructure and advance “physical AI” capabilities.

This move follows closely after a series of strategic tech agreements between the United States, Japan, and South Korea, which aim to foster cooperation in next-generation technologies including AI, semiconductors, biotechnology, quantum computing, and 6G networks.

Over 260,000 Nvidia GPUs Powering South Korea’s AI Ambition

At the core of this expanded collaboration lies a massive commitment to Nvidia’s cutting-edge GPUs. The South Korean government confirmed plans to secure over 260,000 units of Nvidia’s latest chips to meet the country’s rapidly growing demand for artificial intelligence.

Of these, around 50,000 GPUs will be allocated to public-sector projects — supporting the creation of indigenous AI foundation models and a national AI data center. The remaining 200,000-plus units will be distributed among corporate giants Samsung, SK, Hyundai, and Naver, driving forward AI-powered manufacturing, data analytics, and model development across industries.

Samsung and Nvidia: Building the ‘AI Megafactory’

Samsung’s partnership with Nvidia represents one of the most ambitious efforts in AI manufacturing to date. The company announced plans for an “AI Megafactory”, designed in collaboration with Nvidia, that will integrate AI into every level of production — from semiconductors to robotics.

The facility will leverage 50,000 Nvidia GPUs and the Nvidia Omniverse platform to create a real-time intelligent manufacturing ecosystem capable of predictive analysis and process optimization.

In addition, both companies are jointly developing HBM4, the next generation of high-bandwidth memory technology crucial for AI workloads. Their collaboration also extends to AI-RAN (Artificial Intelligence Radio Access Network) — a joint effort with SK Telecom, KT, LG Uplus, and ETRI (Electronics and Telecommunications Research Institute) — aimed at enhancing network efficiency and reducing energy consumption through AI-driven optimization.

Hyundai and Nvidia: Driving the Future of Physical AI

Hyundai Motor Group has also joined forces with Nvidia to accelerate breakthroughs in physical AI — the application of artificial intelligence to real-world systems such as autonomous vehicles, robotics, and industrial automation.

Hyundai plans to deploy 50,000 Nvidia Blackwell GPUs to train and deploy advanced AI models, establishing new AI research centers in South Korea to strengthen its position in next-generation mobility and smart manufacturing.

Huang highlighted the impact of this partnership, stating:

“AI is revolutionizing every facet of every industry, and in transportation alone — from vehicle design and manufacturing to robotics and autonomous driving Nvidia’s AI platforms are transforming how the world moves.”

SK Group and Naver: Expanding AI to the Cloud and Beyond

SK Group, parent company of SK Hynix, is teaming up with Nvidia to create Asia’s first enterprise-led manufacturing AI cloud. This initiative will use Nvidia’s digital twin and simulation technologies to serve both private enterprises and public institutions, helping accelerate the adoption of AI in production environments.

Meanwhile, Naver Cloud is partnering with Nvidia to develop a Physical AI Platform, designed to seamlessly integrate digital intelligence with physical systems. This platform will be deployed across sectors including semiconductors, shipbuilding, energy, and biotechnology, furthering South Korea’s industrial AI transformation.

Naver founder Hae-jin Lee described this new era as “the dawn of Physical AI where AI operates directly within real industrial systems and environments.”

A Global AI Power Shift

These expansive collaborations from Samsung’s AI Megafactory and Hyundai’s smart factories to SK’s AI cloud and Naver’s industrial systems highlight a broader global trend: the convergence of artificial intelligence and hardware innovation.

Nvidia’s rapid expansion in Asia aligns with its recent partnerships with Eli Lilly, Palantir, Uber, Joby Aviation, and the U.S. Department of Energy, further solidifying its influence across industries.

Capping a historic week, Nvidia’s stock soared as it became the first publicly traded company to surpass a $5 trillion market capitalization, reinforcing its dominance in the AI revolution and its pivotal role in shaping the next generation of intelligent global systems.