Naver signed a contract with global alternative investment firm Brookfield to secure AI computing infrastructure worth up to $9 billion. The deal meets a prerequisite for Nvidia's $1 billion strategic equity investment, worth about 1.5 trillion won, and moves its AI Factory business into a full execution phase.

Naver said on Oct. 27 it signed the computing infrastructure contract with Brookfield and plans to swiftly complete the procedures for a third-party paid-in capital increase for Nvidia.

Earlier, Naver agreed to attract a $1 billion equity investment from Nvidia and set a prerequisite of securing at least $9 billion of computing infrastructure excluding those funds. The contract meets that condition, allowing Naver to proceed with procedures for Nvidia's investment payment.

Under the contract, Brookfield plans to set up a special purpose vehicle (SPV) called 'Asset Co.' and invest up to $9 billion to secure AI infrastructure such as GPUs and data centres. Naver Cloud, a Naver subsidiary, will receive computing resources from the vehicle and act as the operator providing AI computing services to external customers.

Asset Co. is set to be established with 100 percent funding from a Brookfield investment vehicle, but it will be incorporated as a Naver subsidiary because Naver's control will be recognised under Korean International Financial Reporting Standards (K-IFRS).

Naver and Naver Cloud will lead the AI Factory business based on their experience building and operating large-scale GPU clusters and their data centre operating capabilities. Nvidia will provide technical cooperation centred on its next-generation high-performance computing platform, 'DSX', to improve infrastructure operating efficiency.

The AI Factory will be built with the hyperscale data centre 'Gak Sejong' as its key hub. Naver plans to begin operating 55 megawatts of infrastructure in the first half of 2027 and expand it to 200 MW by 2028. It also plans to expand the business step by step into overseas markets and build a long-term global AI Factory on a 1 gigawatt scale.

The contract also includes a payment structure designed to reduce the initial investment burden. Instead of buying the infrastructure directly, Naver Cloud plans to pay fees for using computing resources linked to business revenue. Naver plans to ease the initial funding burden needed to build large-scale facilities and secure stable operations.

Naver decided to provide payment guarantees for up to 8 years for Naver Cloud's obligation to pay the usage fees. The company explained the measure was to build trust in contract performance and that providing the guarantee itself would not lead to an actual cash outflow.

Naver said the contract concretised an AI infrastructure business structure based on capital and technology cooperation with Nvidia and Brookfield. It plans to complete the paid-in capital increase procedures for Nvidia and push ahead with business expansion to respond to AI computing demand at home and abroad.

A Naver official said, "Details related to the third-party paid-in capital increase will be announced later."