Korea bolsters AI capabilities with Major NVIDIA Partnership
The South Korean government is substantially expanding its artificial intelligence (AI) infrastructure and capabilities through a new collaborative effort with NVIDIA and leading domestic companies. The initiative, announced on October 31st, aims to strengthen Korea’s position in the rapidly evolving AI landscape.
A key component of the plan is the procurement of 260,000 NVIDIA GPUs. Approximately 50,000 of these will be allocated to the public sector, supporting the development of autonomous AI foundation models and the creation of a national AI computing center – fulfilling a goal originally outlined in the government’s five-year plan released last August. The remaining 200,000 GPUs will be utilized by private sector partners including Samsung, SK, Hyundai Motor Group, and Naver, to drive AI-powered innovation in manufacturing and the development of specialized industry AI models.
The partnership extends beyond hardware provision. During a visit to Korea by NVIDIA CEO Jensen Huang, the Ministry of Science and ICT (MSIT) signed a third Memorandum of Understanding (MOU) with Hyundai Motor Group to facilitate the construction of physical AI infrastructure and foster technological collaboration. Hyundai will establish a ‘Physical AI Request Center’ focused on hardware development and standardization, while NVIDIA will open an ‘AI Technology Center’ in Korea to provide technical expertise and support.
Further research collaborations are also planned. NVIDIA will establish a Center of excellence (COE) to work with domestic research institutions like KISTI, contributing to projects such as the expansion of Supercomputer Unit 6 (Han River) and the development of a hybrid quantum computing habitat. An additional MOU was signed with Samsung Electronics, SK Telecom, KT, LG U+, ETRI, and Yonsei University to jointly investigate next-generation technologies, including AI-RAN (radio access network).
The government also intends to leverage the partnership to bolster support for domestic AI startups,exploring expansion of the Ministry of SMEs and Startups’ ‘NUp’ AI startup support program.
Deputy Prime Minister and Minister of Science and ICT, Bae Kyung-hoon, highlighted the strategic importance of the initiative, stating that expanding AI infrastructure and collaborating with NVIDIA represents a crucial investment in strengthening Korea’s core strengths, especially its manufacturing prowess.