Nvidia, Naver, and Brookfield plan to expand the AI Factory in South Korea to 200 MW by 2028, involving a $10 billion investment.
Nvidia, Naver, and Brookfield are set to significantly enhance their AI capabilities in South Korea by expanding the AI Factory at the GAK Sejong data center. The partners plan to increase the facility's capacity from 55 MW to an impressive 200 MW by 2028.
This expansion is part of a broader vision to establish a gigawatt-scale infrastructure dedicated to training and deploying advanced AI models.
The ambitious project will require strategic investments amounting to approximately $10 billion, broken down as follows:
- Nvidia will contribute $1 billion;
- Brookfield is expected to provide up to $9 billion in financing;
- Naver will cover the remaining investment.
The new computing complex will utilize the NVIDIA DSX platform, incorporating Blackwell and Vera Rubin systems, to serve both South Korean and American AI enterprises.
This announcement follows Naver's earlier report in June about expanding the GAK Sejong's capacity to 55 MW, making this new plan a significant increase in scale.
Major AI Initiatives Announced by South Korean Firms
In related news, South Korea's President Lee Jae-Myung unveiled new AI projects worth $950 billion involving major players like Samsung Electronics and SK Group during the AI Summit in San Francisco, as reported by Reuters.
SK Group has secured agreements totaling $750 billion, with a notable collaboration between SK Hynix and Nvidia exceeding $500 billion aimed at creating extensive AI data centers and next-generation memory solutions.
Additionally, SK Telecom is set to establish a 2 GW data center utilizing Vera Rubin and HBM4 chips by 2027. Meanwhile, Samsung Electronics has entered a memorandum with Broadcom valued at up to $200 billion to enhance memory, contract chip manufacturing, and advanced packaging technologies, including the development of a new AI accelerator based on HBM memory.
In a cautionary note, former OpenAI researcher Daniel Kokotailo suggested pausing the AI development race until 2040 due to potential existential risks.
