In Seoul, Jensen Huang stated that despite the global tech stock sell-off, AI infrastructure development is still in its early stages, presenting a good buying opportunity. He emphasized that AI becoming global infrastructure is a foregone conclusion, and the industry is still in the early stages of building its underlying infrastructure, which will drive sustained large-scale demand for data centers and chips. Meanwhile, Nvidia and SK Hynix announced a multi-year cooperation agreement to jointly develop next-generation AI memory chips. Boosted by this news, SK Hynix's stock price narrowed its losses. South Korean President Lee Jae-myung stated that the South Korean stock market is currently undervalued.
Article author and source: Wall Street News
Amid a global sell-off in tech stocks, Nvidia CEO Jensen Huang not only didn't shy away from the issue, but instead characterized the decline as a good buying opportunity, reiterating that AI infrastructure development is only just beginning.
On Monday, South Korea's benchmark Kospi index fell sharply as enthusiasm for AI trading, which had previously fueled the global stock market bull run, cooled significantly. US tech stocks also declined sharply on Friday due to market concerns about potential interest rate hikes.
After meeting with SK Group Chairman Chey Tae-won in Seoul, Hwang In-hoon told reporters, "We are at the starting point. No matter what happens in the stock market, you should be very happy because you can buy at a discount now." He emphasized, "Everyone should be very excited."
Meanwhile, Nvidia and SK Hynix announced a multi-year agreement on Monday to jointly design next-generation AI memory chips. Boosted by this news, SK Hynix and other stocks saw their losses narrow. South Korean President Lee Jae-myung also stated that day that he believes the South Korean stock market is currently undervalued.
The cooling of AI trading has put pressure on tech stocks. The trigger for this round of tech stock sell-offs was market concerns about an overheated AI market, coupled with expectations of a potential Federal Reserve interest rate hike, putting pressure on the previously surging global tech sector. South Korea's Kospi index followed suit on Monday, after accumulating considerable gains from the AI-related investment boom. This reversal in market sentiment reflects investors' doubts about whether investments in AI infrastructure can continue to deliver returns.
In response to external doubts about stock market volatility, Jensen Huang maintained his consistent stance. He stated that AI becoming global infrastructure is "a foregone conclusion," just as the internet became global infrastructure in its early days. He believes that the industry is currently in the early stages of building the underlying infrastructure for AI, which will support a future AI-centric economic model and drive sustained large-scale demand for data centers and chips.
During their visit to Seoul, Nvidia and SK Hynix announced a multi-year cooperation agreement to jointly develop next-generation memory chips for AI applications. This collaboration is significant for SK Hynix—in the high-end AI chip market, where it fiercely competes with Samsung Electronics, this deep partnership with Nvidia helps solidify its leading position. Following the announcement, SK Hynix's stock price decline narrowed significantly, alleviating some of the market's pessimistic sentiment that day.
