Observed Signal · Apr 12, 2022 · M&A - Announced · Source: Trending Topics · Impact: 4/5 · Sentiment: Neutral
Nvidia Announces $12.93B Acquisition of Hugging Face
Nvidia has announced it is acquiring Hugging Face, the open-source AI model platform, for $12.93 billion. Nvidia CEO Jensen Huang confirmed the deal in a blog post, stating that Hugging Face's community of more than 18 million developers, 200,000 companies, and over three million models lacks the infrastructure required to scale. Nvidia intends to contribute its infrastructure and engineering resources while preserving Hugging Face's open ecosystem, including multi-cloud and multi-accelerator deployments. Huang said Nvidia compute will not be required to build on or distribute via Hugging Face. The team and brand will remain. The acquisition is not yet formally closed and is expected to face antitrust review. Hugging Face was previously valued at $4.5 billion in a funding round that included Nvidia, Salesforce, Google, Amazon, AMD, Intel, Qualcomm, and IBM.
Major AI infrastructure acquisition consolidating the leading open-source AI model distribution platform; affects downstream AI-dependent industries including AdTech and MarTech.
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Key Takeaways & Evidence Grounding
- Nvidia announced the acquisition of Hugging Face for $12,930,300,000.
- Hugging Face hosts more than 3 million models, 500,000 datasets, and 1 million applications, with over 18 million developers and 200,000 companies using the platform.
- Nvidia says Hugging Face will remain an open platform and that Nvidia compute will not be required to build on or distribute via Hugging Face.
- The deal is not yet formally closed and is expected to face antitrust review.
- Hugging Face's last major funding round valued the company at $4.5 billion and included Nvidia, Salesforce, Google, Amazon, AMD, Intel, Qualcomm, and IBM.
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