Nvidia locks down memory supply from SK Hynix as part of $500 billion AI deal - CNBC

What the report says

CNBC reported that Nvidia has secured artificial intelligence memory supply from South Korea’s SK Hynix as part of a broad AI infrastructure agreement announced late Friday in San Francisco. Nvidia described the arrangement as potentially valued at $500 billion over multiple years, with large data centers planned to begin operating in 2027. The company said the project is aimed at capacity requiring about 2 gigawatts of power, signaling a major deployment of AI computing systems.

The deal centers on high-bandwidth memory, or HBM, a critical input for Nvidia’s graphics processors and AI systems. CNBC reported that Nvidia is moving aggressively to lock down HBM as demand from the AI boom contributes to a global memory shortage. SK Hynix is described by analysts cited in the report as a leading HBM producer. Nvidia executive Raj Mirpuri told reporters the expansion includes work on next-generation SK Hynix AI memory and is intended to support a steadier HBM supply.

The agreement also includes SK Telecom, an SK Hynix affiliate, building a cloud business using Nvidia’s Vera Rubin systems. CNBC said the announcement took place during an AI summit attended by South Korean officials, including President Lee Jae Myung, and reflects how large-scale AI infrastructure projects are expanding beyond major U.S. cloud providers to include governments and major conglomerates.

Separately, CNBC reported that Samsung Electronics signed a memorandum of understanding with Broadcom to deepen cooperation in memory and foundry technologies, in a deal Samsung estimated at $200 billion. Nvidia also said it would invest $1 billion in Naver, a Korean cloud company developing GPU-based data centers.