NVIDIA has decided to supply 260,000 of its latest artificial intelligence (AI) semiconductors to Korea. As a result, the domestic stock of the latest graphics processing units (GPUs) will increase from the existing 60,000 to 320,000. Additionally, domestic companies will strengthen cooperation with NVIDIA in the 'Physical AI' sector, which focuses on making AI a reality in physical fields such as robotics and mobility.

On the 31st, President Lee Jae-myung met with Jensen Huang, CEO of NVIDIA, to discuss innovation strategies for the AI ecosystem. The meeting was attended by major group leaders, including Lee Jae-yong, Chairman of Samsung Electronics, Chey Tae-won, Chairman of SK Group, Chung Eui-sun, Chairman of Hyundai Motor Group, and Lee Hae-jin, Chairman of Naver.

In his opening remarks, President Lee emphasized, "Korea's goal is to become the 'AI capital' of the Asia-Pacific region," and stated, "If NVIDIA is responsible for the speed of AI innovation, Korea is the optimal partner to utilize this speed effectively and suggest the right direction for innovation."

● Supply of 260,000 NVIDIA GPUs…210,000 to the private sector

NVIDIA will supply over 260,000 of its latest GPUs to Korea. Approximately 50,000 GPUs will be supplied swiftly and stably to the public sector for the development of independent AI foundation models and the establishment of a national AI computing center. Additionally, 210,000 units will be supplied to domestic conglomerates, including 50,000 each to Samsung, SK, and Hyundai Motor Group, and 60,000 to Naver. These will be used for AI-based manufacturing innovation and the construction of industry-specific AI models.

Since Samsung Electronics and SK Hynix manufacture the high-bandwidth memory (HBM) equipped in NVIDIA's GPUs, domestic companies are expected to see an increase in semiconductor exports. Furthermore, the domestic industry will secure a large quantity of NVIDIA's AI chips, which are in short supply globally due to the AI boom, providing a stepping stone for advancement in the highly competitive global AI field.

● Hyundai Motor-NVIDIA to expand cooperation in Physical AI, including robots and autonomous vehicles

The meeting also discussed collaboration in the Physical AI sector, which involves AI that perceives and acts in the real world based on actual hardware, such as AI manufacturing, robots, and autonomous vehicles.

The Ministry of Science and ICT signed a tripartite memorandum of understanding (MOU) with Hyundai Motor Group and NVIDIA. The MOU includes mutual cooperation for △the establishment and operation of AI infrastructure △joint development of Physical AI technologies such as autonomous future mobility solutions, AI-based smart manufacturing, and AI robotics △supply and investment in the latest high-performance GPUs. To this end, Hyundai Motor Group will pursue infrastructure construction and technological cooperation with NVIDIA in the Physical AI sector.

Samsung Electronics, the three telecom companies (SK Telecom, KT, LG Uplus), the Electronics and Telecommunications Research Institute (ETRI), and Yonsei University signed an MOU with NVIDIA for joint research and demonstration of intelligent base station (AI-RAN) technology. AI-RAN, which combines mobile communication base stations with AI, is expected to overcome the performance limitations of Physical AI and significantly reduce battery consumption by providing communication and computing simultaneously.

SK Group discussed cooperation plans with NVIDIA for a 'Manufacturing AI Startup Alliance' to revitalize the domestic manufacturing AI ecosystem. Based on NVIDIA's simulation and digital twin platform, Asia's first enterprise-led manufacturing AI cloud will be established. It will be open for use by not only SK Group but also the government, public institutions, and domestic startups.

Naver announced its intention to actively support strengthening the competitiveness of the domestic mobility industry based on cloud and AI.

● NVIDIA to expand support for domestic AI startups

Discussions also took place on expanding the support scale of the 'N-UP' program, which aids AI startups in entering the global market. Since its inception in 2020, the N-UP program has supported a total of 151 AI startups through 2024, and this year it is operating with 39 companies. The Ministry of SMEs and Startups and NVIDIA will review plans to expand the program's scale and strengthen support for core areas such as Physical AI.

In addition, an expert organization will be formed for technological cooperation with domestic research institutions, including the Korea Institute of Science and Technology Information (KISTI). Through this, joint research will be conducted for the development of AI foundation models necessary for basic science research, GPU acceleration, and the construction of a hybrid quantum computing environment, including the supercomputer No. 6 ('Han River').

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