Hyundai Motor Group and NVIDIA to Build $3 Billion AI Factory in Korea

Nov 3, 2025
Hyundai Motor Group and NVIDIA have announced plans to establish a new AI factory powered by NVIDIA Blackwell GPUs, aimed at advancing autonomous vehicles, robotics, and smart manufacturing. The initiative represents a $3 billion investment and includes collaboration with the Korean government.

Hyundai Motor Group and NVIDIA are expanding their partnership to create a new AI factory powered by NVIDIA Blackwell infrastructure, announced in a press release. The collaboration will focus on advancing technologies in autonomous vehicles, robotics, and next-generation smart manufacturing.

The facility will use 50,000 NVIDIA Blackwell GPUs to enable integrated AI model training, validation, and deployment for Hyundai’s mobility solutions. As part of the project, the companies plan to establish the Hyundai Motor Group Physical AI Application Center, the NVIDIA AI Technology Center, and regional AI data centers.

The initiative, valued at approximately $3 billion, will also support South Korea’s national effort to develop a physical AI cluster. A Memorandum of Understanding was signed on October 31 between the Ministry of Science and ICT, Hyundai Motor Group, and NVIDIA to formalize the collaboration. The partnership aims to accelerate AI ecosystem development and cultivate future AI talent in Korea.

We hope you enjoyed this article

Consider subscribing to one of our newsletters like Enterprise AI Brief or Daily AI Brief.

Also, consider following us on social media:

Enterprise AI AI Brief AI Brief (X)
Free newsletter

Enterprise AI Brief

Weekly report on AI business applications, enterprise software releases, automation tools, and industry implementations.

AI Token Webinar

Whitepaper

Tensordyne Napier: What If One Rack Could Do the Work of Nine?

Tensordyne

This Tensordyne whitepaper presents Napier, an inference-focused AI processor and rack-scale system based on the company’s TDN Math logarithmic number system. It examines infrastructure requirements for large mixture-of-experts and agentic models, compares major inference architecture approaches, and details the TDN AIP processor, TDN72 pod, TDN Link fabric, and Napier Ultra configuration. The paper reports simulation-based performance, cost, and accuracy-validation results, including Tensordyne’s projected comparison of one Napier rack with a nine-rack Nvidia Rubin plus Groq deployment; the chip is reported as taped out and in fabrication.

Read more

You may also like

Free, six days a week

Daily AI Brief: the AI news that matters, in your inbox.