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South Korea Reaffirms Nvidia Supply Deal
South Korea’s government said plans to bring 260,000 advanced Nvidia graphics processing units into the country remain on track despite a change at the top of the American chipmaker.
The Ministry of Science and ICT held an emergency review meeting with Nvidia after the company announced the resignation of CEO Jensen Huang and the appointment of Chief Financial Officer Colette Kress as interim CEO. Science Minister Bae Kyung-hoon, who also serves as deputy prime minister, said Nvidia reaffirmed that it would proceed with the GPU supply plan and previously announced partnerships with South Korean companies.
The government is separately working to secure 50,000 GPUs. Of roughly 35,000 Nvidia B200 units to be obtained directly, about 21,000 have been secured, while the remaining 14,000 are expected by early 2027. An additional 15,000 units are being acquired through a planned national AI computing center.
AI Research and Korean Chips
South Korea and Nvidia also intend to continue cooperation beyond hardware supplies. The projects include linking Korean-made AI chips with Nvidia’s platform through NVLink, the company’s high-speed connection technology.
Other areas under discussion include AI computing infrastructure, joint research in physical AI, workforce training and bringing Nvidia’s GTC developer conference to South Korea.
Bae said the government would continue monitoring public- and private-sector GPU supplies. The chips already secured are expected to support AI research and development by companies, universities and research institutions, as well as government programs involving homegrown AI foundation models and broader public access to AI.
Reducing Supply Chain Risk
South Korea’s National AI Strategy Committee also convened an emergency meeting to assess how Nvidia’s leadership transition could affect the country’s AI industry and semiconductor supply chain. The committee said it would track the implementation of infrastructure and industrial cooperation plans, including the acquisition of at least 260,000 GPUs.
Officials and representatives from South Korean semiconductor, AI infrastructure and AI services companies will examine the use of multiple computing resources, including GPUs and neural processing units. Government ministries could coordinate additional support if obstacles emerge.
Committee member Shin Jin-woo said the leadership change underscored the need for national AI infrastructure that is not vulnerable to management decisions at a single company. He said cooperation with Nvidia should continue while South Korea expands its options to include domestically produced AI chips.
A Major U.S.-Korea Technology Partnership
The review highlights the importance of Nvidia, a U.S. company, to South Korea’s effort to expand its AI computing capacity. Seoul is seeking to preserve that partnership while developing Korean alternatives and a more diversified supply chain.
Ha Jung-woo, a vice chair of the national committee, said South Korea would work with government agencies and companies to respond to the wider effects of Nvidia’s leadership change and connect its AI infrastructure expansion with efforts to build a physical AI ecosystem.
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