Naver clinches $1.5 bil. AI computing deal with US firm
Naver has signed a 2 trillion-won ($1.5 billion) computing services supply contract with a U.S. artificial intelligence (AI) inference company, securing an initial customer for its AI infrastructure business ahead of the commercial launch planned in the first half of next year. “This is a meaningful contract that confirms actual market demand and the initial commercial viability of the AI factory…
Naver, the South Korean internet giant, has sealed a $1.5 billion deal with a U.S. artificial intelligence (AI) inference company for computing services. This significant contract, valued at 2 trillion won, marks the initial customer for Naver's AI infrastructure business, paving the way for commercial services to commence in the first half of next year.
CEO Choi Soo-yeon expressed optimism about the contract, stating it confirms market demand and validates the commercial viability of Naver's AI factory business. The term "AI factory" is Nvidia's way of referring to next-generation data centers that generate tokens. The contract covers computing services involving advanced graphics processing units (GPUs), with the initial supply set to begin in 2027.
Naver, in collaboration with Canadian asset manager Brookfield and U.S. chipmaker Nvidia, is strategically expanding its AI factory business. The company envisions increasing its capacity from the initial 55 megawatts in 2024 to 200 megawatts by 2028. Naver has secured commitments to deliver these services, signaling a strong market confidence in the company's AI infrastructure plans.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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