Nvidia Expands AI Supply Chain and Concentrates Investment Portfolio

Nvidia is aggressively scaling its AI infrastructure and robotics capabilities through new supply chain partnerships in South Korea and strategic financial investments. The company entered a multiyear agreement with Samsung Electro-Mechanics to supply advanced semiconductor substrates for AI processors and data center networking chips, with new production lines being established in Sejong and Busan. Reports indicate Nvidia is investing approximately 2.6 trillion won ($1.97 billion) in this expansion as part of a broader goal to increase substrate production capacity 2.5 times over three years.

In the robotics sector, Nvidia is collaborating with LG Innotek to develop sensing solutions for humanoid robots. Using Nvidia's Holoscan Sensor Bridge technology, LG Innotek is creating multimodal vision systems and 3-megapixel camera modules that allow sensors to transmit data directly to AI computers.

Parallel to these operational expansions, Nvidia has concentrated 80% of its investment portfolio into two AI-related companies: Intel and Space Exploration Technologies (SpaceX). As of the second quarter, Nvidia holds a 47% stake in Intel and a 33% stake in SpaceX. While Intel recently saw its fastest revenue growth in 15 years, SpaceX reported a 161% increase in third-quarter revenue to $14.6 billion, driven by an 800% surge in its AI business and the development of orbital data centers.