SAN FRANCISCO — Nvidia and SK Hynix announced an agreement on 2026-07-24 in San Francisco valued at up to $500 billion over multiple years. The deal includes the construction of large-scale data centers expected to come online in 2027 and the co-development of next-generation SK Hynix AI memory.

SK Telecom will build a cloud business using Nvidia's Vera Rubin systems as part of the agreement with SK Hynix. The data center project targets 2 gigawatts of power capacity to support the computational demands of artificial intelligence infrastructure.

SK Group and NVIDIA have maintained a decades-long technology partnership, with this agreement serving as a follow-up to their prior long-term technical collaboration. As part of the broader semiconductor cooperation projects announced at the San Francisco AI Summit, SK Group secured a $750 billion long-term memory supply deal with global tech firms, including NVIDIA.

Other major technology investments were revealed during the summit proceedings. NVIDIA invested $1 billion in Naver, a Korean cloud company, to expand GPU supplies and technological cooperation as part of the broader AI infrastructure agreement. Total AI agreements signed at the San Francisco summit amounted to roughly $950 billion.

High-profile executives attended the event to formalize these partnerships. Jensen Huang, Sam Altman, and the heads of Samsung, SK Group, Hyundai Motor, and Naver attended the AI summit in San Francisco on 2026-07-24. Jay Y. Lee, Chey Tae-won, Euisun Chung, and Lee Hae-jin attended the AI summit in San Francisco.

Raj Mirpuri, Nvidia enterprise vice president, outlined the strategic benefits of the memory supply arrangement. "The expansion will include a co-develop opportunity for us on the next-generation SK Hynix AI memory, and this will help us secure a stable supply of HBM memory," Mirpuri said.

The agreement builds on existing research into specialized computing hardware. A study titled SK Hynix AI-Specific Computing Memory Solution: From AiM Device to Heterogeneous AiMX-xPU System for Comprehensive LLM Inference was published in 2024.

Competitors hold smaller shares of the high-bandwidth memory sector. Samsung holds approximately 21% of the global HBM market by revenue as of the first quarter of 2026. In the broader DRAM market, Samsung Electronics holds a 38% share, while Micron holds a 22% share.

SK Hynix has reported strong financial performance in recent periods. The company reported first-quarter 2026 revenue of 52.58 trillion won, approximately $34.5 billion. This figure represented a 198% increase from a year earlier. For fiscal year 2025, SK Hynix reported revenue of $65 billion and a record operating profit of $33 billion.

The partnership with Nvidia represents a substantial portion of SK Hynix's business. The Nvidia partnership contributed 24% of SK Hynix's total 2025 sales. The U.S. generates 65% of SK Hynix's revenue, showing the importance of American technology firms to the supplier.

SK Hynix recently expanded its financial footprint in American markets. The company completed a secondary listing of American depositary shares on the Nasdaq under the ticker SKHY. Through this Nasdaq offering, SK Hynix raised approximately $26.5 billion.

The company outlined specific plans for the capital raised through the public offering. SK Hynix will use IPO proceeds for capital expenditures, including the construction of a fabrication plant in Yongin, South Korea. The funds will also support the development of an advanced packaging and testing facility in Cheongju, South Korea.

Regulatory changes have affected the company's operations in China. The Bureau of Industry and Security removed SK hynix Semiconductor (China) Ltd. from the Validated End-User Authorizations list for the People's Republic of China, effective December 31, 2025. Nvidia, the American multinational technology company established in 1993, continues to expand its global supply chain through agreements such as this one.