The South Korea-US summit offered a rare gathering of tech heavyweights, as Nvidia CEO Jensen Huang met with Samsung Electronics Chairman Lee Jae-yong and SK Group Chairman Chey Tae-won. The encounter underscored the rising importance of high-bandwidth memory (HBM) and cross-border semiconductor investment in the intensifying global AI race.
HBM cooperation and competition
According to South Korean outlets ZDNet Korea and inews24, Huang was seen in conversation with Lee and Chey at the KORUS Business Roundtable following the summit. Analysts believe the discussions likely touched on AI cooperation and future collaboration in HBM, a critical technology underpinning advanced AI systems.
Both Samsung and SK Hynix supply Nvidia with high-performance memory products, including HBM and GDDR chips. The spotlight now falls on who will secure orders for Nvidia's next-generation Rubin AI processor, expected in 2026, which will adopt sixth-generation HBM4 technology.
US investment strategy in focus
South Korea's top tech executives are looking to deepen their presence in the US as Washington increasingly links semiconductor supply chains to national security. Chairman Lee has reportedly discussed expanding the company's chipmaking operations in Taylor, Texas, while SK's Chey is said to have outlined plans for more US investment.
SK Hynix is preparing a US$3.87 billion plant in West Lafayette, Indiana, to handle advanced packaging for next-generation high-bandwidth memory, with production expected to start in 2028.
Seoul's political backing
South Korean President Lee Jae-Myung emphasized the high stakes during the summit, calling semiconductors the backbone of a mutually beneficial Korea-US partnership. He highlighted that Korean HBM is essential for the US to stay ahead in the AI race, noting that Samsung and SK Hynix will lead new packaging and foundry projects on American soil.
Lee also asserted that once these facilities are established, the US is poised to become a key hub in the global semiconductor supply chain.
Despite the summit's high-profile nature, neither Samsung nor SK Hynix announced new investment plans. Industry experts suggest the companies are hesitant to commit without clearer demand forecasts. Still, the diplomatic success of the summit and growing supply chain integration have raised expectations that further investments will follow.
South Korean media also highlighted Samsung's current lack of advanced packaging capacity in the US. While Tesla's recent chip orders didn't require cutting-edge packaging, future competition for global tech clients is expected to revolve around these capabilities, making expanded US investments increasingly necessary.
Credit: Lee Jae Myung
Article edited by Jack Wu
