SEOUL, Nov. 4 (Korea Bizwire) — A senior South Korean presidential aide said Monday that Nvidia’s decision to supply 260,000 graphics processing units (GPUs) to the country will serve as the launchpad for a new era of “physical AI,” positioning South Korea as a key global hub for the next wave of industrial transformation.
Ha Jung-woo, the presidential secretary for future AI planning, said in a YouTube interview with JTBC that the agreement reflects Nvidia’s strategic choice to use Korea as the starting point for its shift into physical AI — a field where artificial intelligence systems power robots, autonomous vehicles and factory automation without direct human commands.
“Nvidia has been preparing for physical AI since two years ago, and Korea offers an ideal success story,” Ha said. “This partnership can become a win-win strategy, as Korea seeks to enhance its competitiveness against China’s manufacturing strength through AI transformation.”
Ha said physical AI requires countries with both advanced manufacturing and strong software capabilities — a combination, he noted, that Korea uniquely possesses.
Quoting Nvidia CEO Jensen Huang, Ha said, “Huang told me, ‘The U.S. is very strong in software but lacks manufacturing capacity, while Germany has factories but weaker software. Korea, however, excels in both.’”
Nvidia CEO Jensen Huang answers questions from reporters during a press conference held at Wonhwa Hall of the Gyeongju Arts Center in North Gyeongsang Province on October 31, during the 2025 APEC Gyeongju Summit. (Yonhap)
The presidential aide also suggested the deal could help stem the outflow of Korean AI talent to overseas tech companies, as researchers will now have access to advanced GPU infrastructure at home.
“One major reason AI talent leaves is not just compensation but the lack of GPUs,” Ha said. “By creating an environment where they can conduct world-class research here, we’ve untangled one of the key knots in that problem.”
The remarks came days after Nvidia CEO Jensen Huang met President Lee Jae-myung and top Korean corporate leaders during the APEC summit in Gyeongju, where Nvidia agreed to allocate the largest GPU shipment ever to Korea to accelerate AI adoption in semiconductors, robotics, and autonomous technologies.
Kevin Lee (kevinlee@koreabizwire.com)
