SK Hynix Seals Multi-Year AI Deal With Nvidia, June 08

Nvidia and SK Hynix announced a multi-year technology partnership on June 08 to develop advanced memory for global AI data centers. The agreement locks in supply as memory chip makers strain to keep pace with surging AI demand. Nvidia CEO Jensen Huang said SK Hynix will remain his company’s largest memory partner and that current capacity plans will not be enough to meet future needs.

What the Deal Covers

SK Hynix will develop next-generation memory for Nvidia’s AI infrastructure, including Vera Rubin AI supercomputers, Vera CPUs, RTX Spark-powered PCs, and Jetson Thor robotic platforms. The partnership runs for more than two years with options to extend. The companies did not disclose the deal value, but Huang said Nvidia already buys billions of dollars annually from SK Hynix and spending will grow substantially.

Why This Matters for Supply

Memory chip makers have struggled to keep up with AI demand. Huang stated that SK Hynix’s plan to double memory wafer capacity by 2030 will not be enough. By securing a multi-year agreement with the world’s second-largest memory manufacturer, Nvidia ensures it controls both GPU design and memory supply. This addresses a key bottleneck in AI infrastructure buildout.

Market Recovery After Tech Selloff

The deal announcement came as AI stocks recovered from Friday’s sharp decline. South Korea’s Kospi index had plunged 8.3 percent early Monday on heavy tech selling. Micron Technology rose 9.9 percent after falling 13.3 percent Friday. The S&P 500 added 0.3 percent, while the Nasdaq climbed 0.9 percent as chip stocks bounced back.

Broader South Korea Strategy

Huang’s trip to South Korea included deals with SK Telecom and Naver. SK Group, South Korea’s second-largest family-owned conglomerate, confirmed its SK Hynix and SK Telecom arms signed agreements with Nvidia. The deals reflect Nvidia’s strategy to secure supply chains and expand partnerships across AI infrastructure, personal AI, and robotics markets.

Final Thoughts

SK Hynix’s multi-year deal with Nvidia secures critical memory supply for the AI boom and signals strong demand ahead. With Nvidia buying billions annually and spending set to grow, the partnership reinforces SK Hynix’s role as a key AI infrastructure supplier.

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