Nvidia Confirms $12.9B Acquisition of AI Powerhouse Hugging Face
In a landmark move in the tech industry, Nvidia has announced its acquisition of the open-source AI platform, Hugging Face, for a staggering $12.93 billion. This deal, which was publicized on September 3, 2026, signifies a monumental investment by the chip behemoth to expand its influence across the entire AI technology stack, from silicon to software.
Since its inception in 2016, Hugging Face has emerged as the preferred platform for AI developers globally. The platform boasts over 3 million AI models, 500,000 datasets, and 1 million applications, serving more than 18 million developers and researchers. It is relied upon by over 200,000 companies for the discovery, customization, and deployment of AI solutions.
As per the agreement terms, Nvidia will compensate Hugging Face shareholders with $11.9 billion, along with an additional $1 billion equity-based retention program for Hugging Face employees transitioning to Nvidia. The transaction is anticipated to be finalized in the first half of 2027, subject to regulatory approval.
Nvidia CEO Jensen Huang expressed that the acquisition will “expand access to AI for developers and institutions worldwide,” and committed to maintaining Hugging Face as an open platform. Hugging Face CEO Clem Delangue revealed that he initiated the conversation with Nvidia, describing it as “a perfect home” for his company. This acquisition is Nvidia’s second-largest to date, following its $20 billion purchase of assets from chipmaker Groq.
Source: TechCrunch – Nvidia confirms it will buy Hugging Face for $12.9 billion