Nvidia Reportedly Agrees to Acquire Hugging Face for $12.9 Billion
Nvidia Corporation (NVDA) is reported to be acquiring Hugging Face, a major open-source AI platform, in a deal valued at $12.9 billion. The acquisition would give Nvidia control over one of the most important hubs for developers working with open-source artificial intelligence models and datasets. This move could strengthen Nvidia's position across both hardware and software layers of the AI ecosystem while countering proprietary model providers like OpenAI and Anthropic, which are developing their own chips to reduce reliance on third-party suppliers. The reported deal comes at a time when Nvidia is experiencing strong growth in its AI business following robust quarterly results. The company recently saw an 8.7% one-day stock price increase after delivering stronger-than-expected earnings and forecasting roughly 70% revenue growth for fiscal 2028. With shares trading near their 52-week high, the potential acquisition could serve as another catalyst to extend Nvidia's AI dominance from chip manufacturing into software development platforms. Nvidia is already a leader in accelerated computing with a $5.5 trillion market cap and has been expanding beyond its traditional role as an AI chipmaker.
Tickers: $NVDA
Topics: AI Nvidia acquisition open-source AI