U.S. chip giant NVIDIA (NASDAQ: NVDA) completed a $1 billion investment in South Korean internet portal leader Naver on Friday, acquiring a 4.13% stake in the company through a third-party allotment and becoming its third-largest shareholder.

In a regulatory filing, Naver stated that it issued more than 6.5 million shares to NVIDIA (NASDAQ: NVDA) through a targeted share placement, raising 1.3 trillion Korean won (equivalent to $1 billion).

The investment by NVIDIA (NASDAQ: NVDA) in Naver will accelerate the joint "Artificial Intelligence (AI) Factory" project announced by both parties in June.

Naver plans to build graphics processing unit (GPU)-based infrastructure, starting with the "Gak Sejong" data center located in Sejong, a central city in South Korea, aiming to expand its "GPU-as-a-Service" business.