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Nvidia and Naver Announce Plan for 200 MW AI Factory in South Korea

The deal pairs Nvidia’s DSX compute platform with major private financing to fast‑track South Korea’s sovereign AI compute capacity.

Overview

  • Naver disclosed July 27 that it will expand the GAK Sejong site from 55 megawatts to 200 megawatts by 2028 and that Nvidia plans to buy about $1 billion of Naver shares as part of the partnership.
  • Brookfield has been named Naver’s preferred bidder and has committed up to $9 billion in project financing to build the expanded Nvidia DSX‑based AI infrastructure at Sejong while negotiations continue.
  • SK Group and Nvidia announced letters of intent reported at roughly $500 billion that include SK Telecom plans for a 2GW DSX/Vera Rubin AI cloud targeting initial operations in 2027, but those terms remain LOIs rather than final contracts.
  • The projects center on Nvidia’s DSX and Vera Rubin accelerated‑computing stacks and depend on long‑term memory supply and co‑development with SK hynix for high‑bandwidth memory used in large model training.
  • Key execution risks include finalizing contracts, securing sites and power, arranging phased financing, and obtaining regulatory approvals, and those factors will determine whether 2027–2028 timelines are met.