SK Group and Nvidia (NASDAQ: NVDA) announced plans for a partnership valued at over $500 billion, spanning AI factory construction and next-generation memory supply, according to a press release issued July 24, 2026. The two sides signed letters of intent to formalize the agreement.

Under the deal, SK Telecom will build a 2-gigawatt AI factory in Korea using Nvidia's DSX platform and Vera Rubin accelerated computing, powered by SK hynix HBM4 memory. The first facility is planned to come online in 2027.

Separately, SK hynix is entering a long-term AI memory partnership with Nvidia, under which the two companies will codevelop and optimize next-generation AI memory solutions, including high-bandwidth memory (HBM), intended for use in large language model training, agentic AI, and physical AI applications. The agreement is described as a follow-up to a previous long-term technical partnership between the two companies.

"In the AI era, competitiveness depends not just on how effectively AI is utilized, but on how much intelligence we can produce," said SK Group Chairman Chey Tae-won. "By leveraging SK hynix's AI memory and SK Telecom's AI infrastructure capabilities, SK will collaborate with NVIDIA to build a world-class AI factory, helping Korea transcend its role as a leading adopter of AI and become a global hub that drives AI innovation."

Jensen Huang, founder and CEO of Nvidia, said: "South Korea has all the ingredients to become a global AI powerhouse — world-class networks and data centers, leadership in chip technology and vast industrial scale. Together with SK Telecom and SK hynix, we are building a new generation of AI factories that will power Korea's next wave of growth."

SK Group is South Korea's second-largest conglomerate, with over 175 affiliate companies and more than 100,000 employees worldwide.