Nvidia to deliver 260,000 AI GPUs to Korea

Nvidia will supply 260,000 high-performance graphics processing units, or GPUs, for artificial intelligence to the South Korean government and major companies. The shipment is expected to ease a GPU shortage long cited as South Korea’s biggest weakness in AI competitiveness and to accelerate the nation’s “sovereign AI” initiative, a joint public-private effort.

Nvidia announced Oct. 31 in Gyeongju, North Gyeongsang Province, during the APEC CEO Summit that it will supply its latest “Blackwell” GPUs to the South Korean government, Samsung Electronics, SK Group, Hyundai Motor Group and Naver Cloud. The Blackwell GPUs are Nvidia’s newest model and are in short supply amid surging global demand from the AI boom.

A government official said each Nvidia GPU costs about 100 million won, putting the total value at over 20 trillion won. The supply is expected to bolster South Korea’s AI capabilities and support talent development. Nvidia said the shipment will raise the country’s total AI GPU stock from about 65,000 to more than 300,000 units, positioning South Korea to emerge as a global AI leader.

The large-scale shipment is expected to help South Korea overcome the GPU shortage that has hindered progress in its sovereign AI initiative and strengthen the country’s AI competitiveness. Nvidia currently controls more than 90 percent of the global GPU market.

Of the 260,000 units, South Korea’s government will receive 50,000, which will be used to develop AI foundation models and build AI infrastructure. Foundation models, which underpin systems such as ChatGPT and Gemini, are crucial for AI competitiveness. Samsung Electronics, SK Group and Hyundai Motor Group will each receive 50,000 GPUs, while Naver will receive 60,000 to strengthen their business capabilities.

“It is good news that Korea can now secure GPUs more stably,” said Yoon Kuk-jin, deputy director of the KAIST AI Institute. “A sufficient GPU supply will broaden research opportunities in semiconductors, AI and biotechnology and allow more technological experimentation.”

During a meeting with Nvidia CEO Jensen Huang, President Lee Jae-myung said Korea is an ideal partner to steer AI innovation. He added that his government would fully support cooperation plans that benefit both Korea and the international community.


박현익 beepark@donga.com