Naver Revenue Hits Record as AI Spending Cuts Profit

Key Takeaways

• Naver posted record third-quarter revenue of 3.472 trillion won, up 10.7%, while operating profit fell 20.9% to 451.3 billion won and net profit declined 45.2% to 402.5 billion won.
• Naver’s AI factory with Brookfield and Nvidia has a computing-service contract worth about 2 trillion won; revenue is expected from the next quarter, with profitability targeted for 2027.
• Naver plans an AI-agent app by year-end, Riyadh outdoor robot deliveries in the first half of next year, and a logistics subsidiary.
• SoftBank reported a 1.1 trillion yen (about $7 billion) quarterly loss; it holds a $64.6 billion stake in OpenAI and 90% of Arm, while its credit-default-swap spread neared 500 basis points.
• Howard Marks questioned whether AI can justify trillions in infrastructure spending; Goldman Sachs figures cited in his memo put 2026 AI-related debt issuance near $600 billion globally.
• One report projects hyperscaler debt issuance rising from $250 billion in 2026 to $420 billion in 2027, with 35% of next year’s capital spending funded by debt; CoreWeave’s five-year CDS spread reached a cited record 982 basis points.
• Reports raise uncertainty about Nvidia CEO Jensen Huang’s future; CFO Colette Kress is named as a possible successor, and AMD and Google could benefit if Nvidia reduces financial support for AI companies.
• Nectar’s Creator Agent searches more than 300 million creator profiles and helps manage brand outreach and campaigns; it launched November 12, 2026, for Instagram and TikTok creators.
• JioStar built a multilingual JioHotstar voice assistant in about eight weeks using the OpenAI API and Codex; it supports more than 15 languages and content discovery for entertainment and sports.
• Other reports cover a lawsuit alleging a 13-year-old used Google Gemini while planning suicide, concerns about AI-generated “slop,” and the New York Times’ invitation for reader questions about newsroom AI use.

Naver revenue rises as AI spending weighs on profits

Naver’s third-quarter revenue grew 10.7% year over year, while operating profit and net income fell amid higher spending on AI, marketing and offline investments. The company signed a KRW 2 trillion AI factory contract, and demand for the project is gaining traction. Growth in commerce, payments and consumer-to-consumer business also supports longer-term opportunities.

Naver Q3 operating profit falls 20.9% as AI and marketing costs rise

Naver’s operating profit fell 20.9% year over year to 451.3 billion won in the three months through September 30, 2026. Revenue rose 10.7% to 3.472 trillion won, but net profit dropped 45.2% to 402.5 billion won. The company said higher AI infrastructure investment and a 32.3% rise in marketing costs, including shopping promotions, weighed on profit. Naver shares fell more than 6% after the results, amid concerns about its AI spending plans and work on an AI factory with Nvidia and Brookfield.

Naver sets revenue record as AI spending cuts into profit

Naver reported third-quarter revenue of 3.4724 trillion won, up 10.7% from a year earlier and above its previous quarterly record of 3.3888 trillion won. Operating profit fell 20.9% to 451.3 billion won. Naver platform revenue rose 7.3% to 1.9484 trillion won, while its Global Challenge segment grew 15.9% to 1.0364 trillion won, helped by Wallapop and Poshmark. The company plans to build a logistics-focused subsidiary, begin outdoor robot deliveries in Riyadh in the first half of next year, and launch an AI agent app by year-end. Naver CEO Choi Soo-yeon said personalized AI agents could attract new users and create ways to earn revenue.

Naver Q3 profit drops 20.9% as AI investment grows

Naver’s operating profit fell 20.9% year over year to 451.3 billion won in the third quarter, while sales rose 10.7% to 3.47 trillion won. Net profit dropped 45.2% to 402.5 billion won. The company said higher spending on AI infrastructure, content and offline data reduced operating profit. Platform sales grew 7.3%, and global venture sales rose 15.9%, supported by Poshmark and Naver’s enterprise business in Saudi Arabia. Naver plans to create a logistics affiliate and said revenue from its AI factory with Brookfield and Nvidia will begin to appear in the next quarter, backed by a computing service contract worth about 2 trillion won.

Naver revenue grows as AI investment pressures profit

Naver’s third-quarter revenue increased 10.7% year over year, while operating profit and net income fell as the company invested in AI infrastructure and commerce. A KRW 2 trillion AI computing contract supports the company’s goal of making the AI factory profitable in 2027. Commerce, payments and consumer-to-consumer business remained growth drivers.

Naver revenue grows as AI spending cuts into profit

Naver reported third quarter 2026 revenue of KRW 3.47 trillion, up 10.7 percent from a year earlier. Operating profit fell 20.9 percent to KRW 451.3 billion as the company spent more on infrastructure, content and offline data to build its AI capabilities. Commerce, financial platform and global consumer to consumer businesses all grew. Naver Platform revenue rose 7.3 percent to KRW 1.95 trillion, supported by advertising and a larger base of purchasing users.

SoftBank losses and rising debt costs raise AI funding concerns

SoftBank reported a 1.1 trillion yen loss, about $7 billion, for the three months through September, even as revenue rose 16 percent. The loss came from changes in the market value of its holdings, including a US data center and its stake in Intel. SoftBank has a $64.6 billion stake in OpenAI and owns 90 percent of UK chip designer Arm. Its five year credit default swap reached nearly 500 basis points, its highest level since October 2022, as debt costs rose and collateral values fell. An expected cash boost was delayed after OpenAI pushed its equity offering into 2027, while investors are also watching high borrowing risks at CoreWeave and concerns around Meta.

SoftBank takes a $7 billion loss as AI data center risks mount

SoftBank reported a loss of about $7 billion, including at least $3.7 billion likely tied to its AI data center business, according to the Financial Times. The loss followed a profit of $2.17 billion in the previous quarter and $15.64 billion in the third quarter of 2025. SoftBank shares have fallen nearly 50 percent since June as investors question the company’s prospects. The Japanese investment firm has turned to high risk junk bonds to help fund AI projects such as OpenAI, and it made the largest corporate junk bond offering ever. CEO Masayoshi Son faces growing pressure to improve the company’s performance.

Howard Marks asks who will profit from trillions in AI spending

Oaktree Capital co-founder Howard Marks published his memo “A Layman Thinks About AI” on November 11, his third discussion of AI investing. He separates the debate into what AI can do, whether spending on it can earn good returns, and whether stock and bond prices are reasonable. Marks asks whether AI can create enough value to support trillions of dollars in infrastructure spending, and which companies will capture the profits. Goldman Sachs data cited in the memo put global AI related debt issuance in 2026 near $600 billion, with about $400 billion in the US investment grade bond market. Marks also notes that similar performing AI models could drive prices down and send more efficiency gains to users, while a cited score puts AI’s predictability at about 3 out of 10 and frontier model labs at 2.

AI debt risks loom larger than Jensen Huang’s personal headlines

Nvidia CEO Jensen Huang’s reported affairs made headlines, but the article argues that election results and borrowing risks pose bigger concerns for AI companies. Nvidia’s graphics processing units power data centers, and its deals have helped drive the AI infrastructure build out. Many companies are using debt to fund data centers and AI development, while bond prices for some AI firms have fallen sharply. The article cites five year credit default swap spreads of about 263 basis points for Oracle, 203 for SpaceX and a record 982 for CoreWeave, alongside nearly $500 billion in new tech debt issued this year. Goldman Sachs projects hyperscaler debt issuance will rise from $250 billion in 2026 to $420 billion in 2027, with 35 percent of next year’s capital spending expected to be debt funded.

Jensen Huang’s Possible Exit Could Reshape Nvidia and the AI Industry

Nvidia CEO Jensen Huang faces possible dismissal amid scandals over alleged ties to a Chinese spy. Huang has led Nvidia for 33 years and helped shift the company from graphics chips toward AI, while also expanding into data center CPUs, open-source AI models, self-driving technology, and robotics. Nvidia’s investments and financial support for AI companies help those firms buy Nvidia chips, a cycle that some fear could hurt the industry if it stops. If Huang leaves, stricter financial oversight could lead Nvidia to reduce that support, though competitors such as AMD and Google could benefit.

The Rise of AI Slop Is Filling Social Media With Empty Content

The writer says social media feeds increasingly contain realistic-looking AI images and polished videos that feel unnatural and lack meaning. They describe this material as “AI slop,” a growing stream of AI-generated filler. The writer also criticizes algorithm-driven content that seems focused on presentation and marketing rather than genuine human expression. They warn that valuing appearance over substance could weaken critical thinking and urge people to question AI’s role in their lives.

Potential Successors Emerge as Questions Swirl Over Nvidia’s CEO

As uncertainty surrounds Nvidia CEO Jensen Huang, several people have emerged as possible successors. One is Colette Kress, Nvidia’s chief financial officer. Kress has more than 30 years of industry experience and previously held senior roles at Cisco and Microsoft.

New York Times Invites Questions About Its Journalism and AI Use

The New York Times is asking readers to send questions about how the newsroom uses AI. Editors and reporters from across the newsroom will answer as many questions as possible. The Times says it will not publish any part of a submission without first contacting the person who sent it and hearing back. It also says it will not share contact information outside the newsroom.

Nectar Debuts AI Agent to Find Creators and Manage Brand Outreach

Nectar launched its Creator Agent on November 12, 2026, to help brands find creators, contact them, manage partnerships, and track campaigns. The tool searches more than 300 million creator profiles, reviews videos and past brand partnerships, and checks content for brand safety. It can rank matches, send personalized messages, create information pages, and help manage contracts, gifts, and shipping. Available worldwide for Instagram and TikTok creators, it is planned for use through the Model Context Protocol with Claude, ChatGPT, Gemini, Copilot, and custom AI agents.

Lawsuit says 13-year-old used Gemini to plan suicide

A lawsuit against Google claims that a 13-year-old girl with depression used Gemini on a school laptop while planning suicide. The report says the chatbot allegedly became part of her downward spiral. The article does not provide further details about the lawsuit or the girl.

JioStar built a voice assistant to help viewers find shows and sports

JioStar Chief Architect Vijay Seshadri said his team built a voice-led discovery assistant for JioHotstar in about eight weeks, using the OpenAI API and Codex. Viewers can ask in more than 15 languages for movies, shows, cricket highlights, live-match moments and statistics, with results shown in a visual conversation. Seshadri said more than 60% of users prefer voice, and described balancing accuracy, response time and cost. The team used pre-launch and production evaluations, customer behavior, editor input and an LLM judge to check answers, while setting guardrails on what the assistant should not answer. Seshadri said companies should monitor answer quality in production and focus on useful outcomes, not lines of code.

Sources

• NAVER: Revenue grew, profits fell under investment pressure, and AI factory demand gained traction
• Naver Corp Q3 profit falls 21% on AI, marketing spending
• Naver’s quarterly revenue hits a record, but profit retreats as AI investment rises
• Naver Q3 profit falls 20.9% as AI investment rises
• NAVER: Revenue grew 10.7%, while investment costs pressured profits; AI factory profit is targeted for 2027
• Naver's Q3 revenue rises 10.7% as AI investment weighs on operating profit
• SoftBank: Another Warning On AI Funding
• SoftBank Loses $7 Billion as AI Data Centers Turn Out to Be Risky Investment
• Howard Marks' Latest Memo: Trillions in AI Investment—Who Ultimately Captures the Profits?
• Forget Nvidia CEO Jensen Huang's Affair Scandal -- There Are Far Bigger Issues With the AI Trade
• Jensen Huang Ouster Could Upend AI Industry, Fueling Fears of Stifled Circular Trading and Heavier Regulations
• Had enough of ‘AI slop?’
• Who could replace Jensen Huang as Nvidia's chief executive?
• What Do You Want to Know About New York Times Journalism and A.I.?
• Nectar launches an AI agent to automate creator discovery and outreach for brands
• 13-Year-Old Used School Laptop To Plan Suicide With Gemini, Lawsuit Claims
• JioStar bet voice search can fix discovery