Recent heavy selling in global technology stocks presents a buying opportunity, according to NVIDIA (NASDAQ: NVDA) CEO Jensen Huang, who asserts that the construction of artificial intelligence infrastructure is only just beginning.
This selloff, which started last week, triggered a sharp downturn in South Korean markets. The KOSPI index plunged over 8% at one point, activating circuit breakers, with major chip stocks Samsung Electronics and SK Hynix also tumbling up to 10%.
The pressure extended across the Asia-Pacific region, with Japan's Nikkei 225 index falling more than 4%. Concerns over an overheated AI trade have cooled global tech sentiment, leading to a significant drop in US tech shares on Friday as expectations for higher interest rates intensified. The Philadelphia Semiconductor Index plummeted over 10%, marking its largest single-day decline since March 2020.
When asked about the market turmoil, Huang stated that the industry remains in the early phases of building the foundational infrastructure that will power AI-driven advancements.
On Monday, NVIDIA and SK Hynix announced a multi-year agreement to co-design the next generation of memory chips for AI. This partnership represents a significant win for SK Hynix as it competes with Samsung Electronics in the fiercely contested AI sector.
Following a meeting with SK Group Chairman Chey Tae-won in Seoul, Huang remarked, "We are just at the beginning. Regardless of stock market volatility, you should be very happy because you can now buy at a lower price. Everyone should be very excited."
Like many industry peers, Huang has consistently emphasized that AI will fundamentally transform numerous sectors of the global economy and alter how people work and live. This transformation, in turn, is expected to drive massive demand for data centers and chips to support future AI services.
"AI will become the infrastructure of the world, just as the internet became the infrastructure of the world. That is beyond doubt," he added.
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