Observed Signal · Jun 16, 2022 · M&A - Announced · Source: Trending Topics · Impact: 5/5 · Sentiment: Positive
Nvidia Agrees to Acquire Hugging Face for $12.93 Billion
Nvidia has agreed to acquire Hugging Face, the platform hosting the majority of open AI models, for $12,930,300,000. Nvidia CEO Jensen Huang confirmed the deal in a blog post. Hugging Face reports more than 18 million developers, 3 million models, 500,000 datasets and 1 million applications; over 200,000 companies use the platform. Huang said Hugging Face will remain an open platform and that Nvidia compute will not be required to build on or distribute via it. The deal extends Nvidia's strategy around open-weight AI models and its CUDA ecosystem. Nvidia was already an investor in Hugging Face, which was valued at $4.5 billion in its last major funding round. The transaction is not yet formally closed and is expected to face antitrust scrutiny.
Nvidia's $12.93B acquisition of Hugging Face gives the dominant AI chipmaker ownership of the primary hub for open-source AI model distribution, a structural shift in AI infrastructure that will affect AI model deployment, developer ecosystems and downstream AI/AdTech tooling.
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Key Takeaways & Evidence Grounding
- Nvidia agreed to acquire Hugging Face for $12,930,300,000.
- Hugging Face hosts more than 3 million models, 500,000 datasets, and 1 million applications, used by 18 million developers and 200,000 companies.
- Jensen Huang confirmed the acquisition and said Hugging Face will remain a multi-cloud, multi-accelerator open platform.
- Hugging Face was valued at $4.5 billion in its last major funding round, with participation from Nvidia, Salesforce, Google, Amazon, AMD, Intel, Qualcomm, and IBM.
- The deal is not yet formally closed and is expected to face antitrust review.
Connected Companies & Entities
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