San francisco: South Korean conglomerates and global tech giants, including Nvidia Corp., have reached an agreement to embark on cooperation projects valued at US$950 billion, as announced by a senior presidential official on Friday. The projects feature a significant long-term deal where SK Group will supply $750 billion worth of high-performance semiconductors to global tech firms like Nvidia, according to Kim Yong-beom, the presidential chief of staff for policy, during a press briefing.
According to Yonhap News Agency, the agreement emerged from a high-level meeting in San Francisco, attended by prominent leaders from global tech firms and South Korean conglomerates. Participants included Samsung Electronics Co. Chairman Lee Jae-yong, SK Group Chairman Chey Tae-won, OpenAI CEO Sam Altman, and Nvidia CEO Jensen Huang. During the meeting, President Lee Jae Myung articulated a vision for South Korea to become a reliable production base and supply partner for artificial intelligence (AI) semiconductors, aiming for the nation to become a pivotal player in the AI supply chain.
President Lee stated that South Korea would leverage its competitiveness and production capacity in memory semiconductors to become a trusted AI chip production base. The "San Francisco AI Declaration" reflects Seoul's effort to capitalize on the increasing global demand for semiconductors, driven by the AI boom, positioning South Korea as a major chip supply hub worldwide.
Following recent announcements of three megaprojects involving investments exceeding 4,000 trillion won (US$2.73 trillion) in a semiconductor production cluster and AI infrastructure, President Lee outlined plans for South Korea to establish a world-class AI hub. This hub aims to reliably supply essential infrastructure for the global AI ecosystem, fostering a new market where nations can grow collectively.
President Lee emphasized South Korea's commitment to creating new markets for AI technology applications, such as in manufacturing and logistics, and positioning the country as a test bed for AI adoption. He underscored that South Korea seeks to be a responsible partner, sharing AI opportunities and benefits globally, rather than pursuing isolated growth.
The South Korean president's visit to San Francisco is part of a broader five-nation tour that will also take him to three South American countries, including Chile and Argentina, before departing for Brazil.