Naver Cloud, Nvidia form AI factory alliance

June 2 (Asia Today) -- Naver Cloud is moving to expand its presence in the global artificial intelligence infrastructure market through a deeper partnership with Nvidia.

The company aims to combine its HyperCLOVA X large-scale AI model and sovereign AI capabilities with Nvidia's AI infrastructure platform to become a key player in the era of AI factories.

Industry officials said Tuesday that Naver Cloud CEO Kim Yu-won attended the Nvidia Cloud Partner Summit in Taiwan and outlined the company's strategic cooperation with Nvidia.

The partnership is drawing attention because it goes beyond a simple graphics processing unit supply arrangement and extends across infrastructure, AI models and services.

Nvidia CEO Jensen Huang introduced Naver Cloud as a major AI-native cloud partner in the global AI ecosystem during his keynote speech at GTC Taipei 2026 on Monday.

The two companies also plan to expand cooperation in large language models. Naver Cloud plans to use Nvidia's open large language model technology, Nemotron 3 Ultra, to advance HyperCLOVA X. The companies also plan to jointly study model optimization and core technologies.

Cooperation will also continue in physical AI. In March, Naver Cloud unveiled the Seoul World Model, a digital recreation of Seoul built with Nvidia's Cosmos physical AI platform.

The Seoul World Model was trained on South Korean map data and 1.2 million panoramic images collected across Seoul, allowing it to reproduce real road environments and spatial structures.

Naver Cloud plans to target the global AI market by emphasizing its full-stack capabilities, which combine its own AI models and cloud infrastructure. The company also plans to expand sovereign AI projects that protect national data sovereignty by working with governments and local companies.

Naver board chair Lee Hae-jin and Huang are expected to meet soon in South Korea and disclose specific plans for the AI factory project.

"The AI industry paradigm is shifting from models to inference-focused AI factories that can operate large-scale infrastructure reliably," Kim said. "Our cooperation with Nvidia is not a simple supply relationship but a strategic decision to expand the global AI ecosystem together."

-- Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260602010000541

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This story was originally published June 2, 2026 at 3:27 PM.