Naver (NHNCF) Stock Soars 14% on Nvidia AI Infrastructure Deal

Key Highlights

Table of Contents

Shares of Naver climbed approximately 14% to 290,500 won following the revelation of an AI infrastructure collaboration with Nvidia
The partnership will establish “AI factories” — comprehensive data centers and supporting infrastructure — throughout South Korea
Initial capacity is set at 55 megawatts with plans to expand to gigawatt-scale operations utilizing Nvidia’s DSX platform
Operations will commence at Naver’s Gak Sejong data center facility in Sejong city
During his South Korea visit, Nvidia CEO Jensen Huang revealed additional partnerships with SK Hynix and Doosan

Shares of Naver surged approximately 14% on Monday, reaching 290,500 won, significantly outpacing the KOSPI index which declined nearly 9%.

NAVER Corporation, NHNCF

The dramatic price increase followed the announcement of a strategic alliance between Naver and Nvidia focused on developing sovereign artificial intelligence infrastructure within South Korea.

The collaboration centers on constructing what both companies describe as “AI factories” — comprehensive, full-stack data center facilities and infrastructure tailored for the emerging agentic AI landscape.

The inaugural phase of the project will deliver 55 megawatts of computing capacity, with long-term objectives to expand operations to gigawatt-level scale.

This expansion will leverage Nvidia’s DSX platform, a comprehensive solution designed for building complete AI ecosystems.

“The era of practical AI has begun, and the demand for AI factories is unprecedented,” stated Nvidia CEO Jensen Huang in an official release.

“Through NVIDIA DSX, we can assist Korea in scaling its sovereign intelligence infrastructure for the agentic era — spanning AI agents, AI factories, and physical AI applications,” Huang continued.

Initial deployment will take place at Naver’s Gak Sejong data center, situated in the South Korean city of Sejong.

Collaboration Encompasses More Than Computing Infrastructure

The strategic partnership extends beyond traditional computing facilities. Both organizations intend to work together on physical AI initiatives, encompassing enterprise solutions and surveillance technologies.

Naver has invested substantially in developing its AI capabilities over recent years, including its proprietary large language model, HyperCLOVA X.

This new alliance provides that initiative with a powerful hardware and infrastructure ally in Nvidia.

Component of a Broader South Korean Strategy

The Naver agreement represented one of multiple partnerships unveiled during Huang’s South Korean tour.

Nvidia simultaneously announced distinct collaborations with memory chip manufacturer SK Hynix and industrial conglomerate Doosan throughout the same visit.

These announcements underscore Nvidia’s strategic initiative to expand its footprint within South Korea’s technology industry.

Naver, which jointly operates the LINE messaging service, stands as South Korea’s dominant internet search provider.

The 55-megawatt initiative at Gak Sejong represents the initial phase of what both partners characterize as an extensive, long-term infrastructure development program.

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