MANY MINDEDNvidia and SK Group sign a letter of intent framed at over $500 billion
Nvidia and South Korea's SK Group signed letters of intent for a strategic relationship the reporting values at more than $500 billion. The figure represents aggregate expected commercial activity over several years — an interpretation rather than an itemized number — and the announcement itself was described as vague on detail. The deal folds in a long-term memory supply agreement with SK hynix first unveiled in June.
The concrete piece is infrastructure. SK Telecom plans to build a 2-gigawatt AI data center in South Korea using Nvidia's DSX AI factory platform and Vera Rubin computing systems, equipped with SK hynix HBM4 memory. The first facility is set to enter service in 2027, intended to support sovereign, enterprise, physical, and agentic AI across South Korea and the Asia-Pacific region. Nvidia's NVL72 VR200 racks are rated between 166 and 240 kilowatts each, though the total rack count can't be estimated without knowing the configuration.
Why it matters for abundance: memory and datacenter capacity are the physical bottleneck behind cheaper machine intelligence. Locking in HBM4 supply and gigawatt-scale compute expands the pipeline that makes AI services more available, and a domestic build broadens where that capacity sits rather than concentrating it.
The honest caveats are large. This is a letter-of-intent stage agreement, the dollar figure is not officially broken down, and the power draw of a 2-gigawatt facility is substantial. Watch for firm contracts, a confirmed rack configuration, and whether the 2027 timeline holds.
Source: Tom's Hardware