Nvidia locks down memory from SK Hynix as part of $500 billion AI deal
Nvidia has secured a massive supply agreement for high-bandwidth memory from SK Hynix to support its AI infrastructure expansion. The deal, potentially worth $500 billion, underscores the global race to secure components for advanced AI processors.
Why it matters
The deal signals a significant shift in AI infrastructure, moving beyond tech giants to include international conglomerates and government-backed projects.
Nvidia said it's secured AI memory supply from South Korea's SK Hynix , as the chipmaker tries to lock in a key component for its advanced processors and systems.
The agreement, announced late Friday in San Francisco, could be worth $500 billion over a number of years, and includes the construction of large-scale data centers expected to come online in 2027, Nvidia said.
SK Hynix affiliate SK Telecom will build a cloud business using Nvidia's Vera Rubin systems. Nvidia said it's targeting enough capacity to require 2 gigawatts of power, which indicates a massive buildout with hundreds of thousands of graphics processing units.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in