"You Should Be Happy!" Jensen Huang Backs AI: Finally a Chance to Buy at a Discount After the Plunge

As global tech stocks faced a sell-off, NVIDIA CEO Jensen Huang did not shy away; instead, he characterized the decline as a prime entry opportunity and reiterated that AI infrastructure construction is only just beginning.

On Monday, South Korea's benchmark Kospi index fell sharply, as the enthusiasm for AI trades that had previously supported the global bull market noticeably cooled. U.S. tech stocks also dropped significantly last Friday amid market concerns over potential interest rate hikes.

Speaking to reporters in Seoul after meeting with SK Group Chairman Chey Tae-won, Jensen Huang stated: "We are at the starting point. No matter what has happened in the stock market, you should be very happy because you can now buy at a discount." He emphasized, "Everyone should be very excited."

Meanwhile, NVIDIA and SK Hynix announced on Monday that they had reached a multi-year agreement to jointly design next-generation AI memory chips. Boosted by this news, the declines in shares such as SK Hynix narrowed. South Korean President Lee Jae-myung also stated on the day that he believes the South Korean stock market remains undervalued.

AI Trade Cools, Tech Stocks Under Pressure

The trigger for this round of tech stock sell-offs was market concern over overheating in AI trades, compounded by expectations of potential Federal Reserve interest rate hikes, which put pressure on the globally rising tech sector. South Korea's Kospi index followed the decline on Monday, having previously accumulated significant gains fueled by the AI investment boom. The reversal in market sentiment reflects investors' doubts about whether AI infrastructure investments can continue to deliver returns.

Facing external questions about stock market volatility, Jensen Huang stuck to his consistent stance. He stated that AI becoming global infrastructure is a "foregone conclusion," just as the internet once became global infrastructure. He believes the industry is still in the early stages of building the underlying AI infrastructure, which will support future AI-centric economic forms and thereby drive sustained large-scale demand for data centers and chips.

During his visit to Seoul, NVIDIA and SK Hynix announced the signing of 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 binding with NVIDIA helps consolidate its leading position. Following the announcement, SK Hynix's stock price decline narrowed significantly, alleviating the market's pessimistic sentiment to some extent.