Key Highlights
- SK Hynix DRAM selected for Nvidia’s upcoming Vera data-center processor, confirmed by Jensen Huang
- Partnership between Nvidia and SK Hynix projected to expand significantly through late 2026 and 2027
- Official collaboration announcement scheduled for Monday between Nvidia and SK Group
- Memory supply constraints expected to continue for multiple years due to surging AI infrastructure demand
- Jensen Huang’s South Korea itinerary includes meetings with Samsung, Hyundai, and LG leadership
During his weekend visit to Seoul, Nvidia CEO Jensen Huang revealed that the company’s forthcoming Vera data-center processor will incorporate SK Hynix DRAM technology. The disclosure followed an informal Sunday gathering with SK Group Chairman Chey Tae-won and SK Hynix CEO Kwak Noh-jung at Kkanbu Chicken restaurant, where they shared the popular Korean pairing of fried chicken and beer known as “chimaek.”
According to Huang, Nvidia’s collaboration with SK Hynix is positioned for significant expansion throughout the latter half of 2026 and continuing into 2027. Both organizations plan to present their detailed cooperation strategy to media representatives on Monday morning.
The Vera processor marks Nvidia’s inaugural entry into the standalone data-center CPU market, positioning the company against established competitors including Intel’s Xeon series and AMD’s Epyc processors. Additionally, Vera will compete with proprietary silicon from major cloud providers such as Amazon’s Graviton chip family.
This partnership solidifies SK Hynix’s strategic importance within the AI hardware supply ecosystem. For shareholders of the South Korean memory manufacturer, the arrangement signals sustained revenue growth from AI infrastructure investments.
Persistent Supply Chain Constraints
Huang offered candid remarks regarding ongoing supply limitations. He indicated that shortages extend across wafers, packaging materials, and silicon photonics components, with no immediate resolution on the horizon.
“It is going to persist for several years,” he said.
While challenging for companies attempting to secure semiconductor components, these conditions support favorable pricing dynamics for memory manufacturers like SK Hynix and Samsung.
The demand surge stems from cloud service providers and corporate clients accelerating their AI infrastructure deployments. Huang’s assessment indicates that current demand levels significantly exceed the supply chain’s production capacity.
Broader Strategic Engagements
Nvidia’s Seoul agenda extends well beyond the SK Hynix partnership. Huang’s schedule includes discussions with executives from Samsung Electronics, Hyundai Motor Group, and LG Group throughout his South Korean stay.
He additionally revealed ongoing conversations with telecommunications companies regarding network infrastructure’s evolving function in AI ecosystems. This suggests potential expansion of AI processing beyond traditional centralized data centers into telecommunications network architectures.
Huang characterized the Vera processor as a significant advancement in computing technology. Nvidia first unveiled Vera during the Computex conference in Taipei this June, where Huang and SK Group Chairman Chey were photographed together at the SK Hynix exhibition stand.
The business relationship between Nvidia and SK Hynix encompasses AI supercomputing systems, central processing units, and robotics platforms, Huang explained. He emphasized that both companies are collaborating across numerous industry sectors.
Nvidia (NVDA) stock concluded Friday’s trading session at $135.05, reflecting gains exceeding 170% over the preceding twelve months. SK Hynix shares trade on the Korea Stock Exchange under the ticker symbol 000660.
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