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Nvidia Agrees to Buy Hugging Face for $12.93B, Promising Hardware Choice

The pending acquisition would bring a major developer platform inside Nvidia, while the company promises users can still choose competing models, clouds and computing hardware.

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Nvidia Agrees to Buy Hugging Face for $12.93B, Promising Hardware Choice
Nvidia Agrees to Buy Hugging Face for $12.93B, Promising Hardware Choice

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Nvidia has agreed to buy Hugging Face for twelve point ninety-three billion dollars, bringing one of the biggest platforms for sharing and deploying AI models inside the leading AI-chip company. The deal is still pending and is expected to close in the first half of 2027. It includes one billion dollars in equity for a Hugging Face employee-retention plan. The central issue is choice. Nvidia says Hugging Face will keep its brand and team, and that users will remain free to select competing models, cloud providers, inference services, and computing hardware. Nvidia hardware, it says, will not be required to build or deploy through the platform. The company also promises continued support for open-source and open-weight models from all builders, across multiple clouds and accelerator types. That matters because Hugging Face is already a major developer network: it reports 18 million users, more than three million models, half a million datasets, and one million applications. More than 200,000 companies use it to discover, evaluate, customize, and deploy AI. Nvidia says it is already the platform’s largest contributor, with over 500 models and 250 open datasets published there. Open models can be downloaded and customized, rather than accessed only through a proprietary service. So the real test is not the promise made at announcement, but whether third-party models, clouds, inference providers, and accelerators keep receiving equivalent support after the acquisition closes in 2027.

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3 key points

Nvidia’s planned $12.93 billion acquisition of Hugging Face would put a major open-model hub under the control of a leading AI-chip supplier. The deal is not expected to close until the first half of 2027 and includes $1 billion for employee retention. Nvidia has promised continued support for competing models, cloud providers, inference services, and accelerators, with no requirement to use Nvidia hardware. The...

  1. 01

    Hugging Face reports 18 million users, 3 million models, 500,000 datasets, and 1 million applications on its platform.

  2. 02

    More than 200,000 companies use Hugging Face to discover, evaluate, customize, and deploy AI.

  3. 03

    Nvidia says Hugging Face will retain its brand and team while supporting open-source and open-weight models from all builders.

Nvidia has agreed to acquire Hugging Face for $12.93 billion, turning a reported deal into a confirmed transaction. The key condition for the platform’s users is Nvidia’s pledge that they will still be able to select their own models, clouds, inference services and computing platforms.

The acquisition remains pending and is expected to close in the first half of 2027, according to a securities filing. The price includes $1 billion in equity for a Hugging Face employee-retention plan, The Associated Press reported, citing comments Nvidia CEO Jensen Huang made to CNBC.

An infrastructure owner promises platform neutrality

Nvidia says Hugging Face will remain open to the wider AI ecosystem, and that Nvidia hardware will not be required to build on or deploy through it. It also says the platform will continue supporting open-source and open-weight models from all model builders, alongside multi-cloud and multi-accelerator development and deployment.

The developer network at stake
More than 18 millionDevelopers, researchers and creators

Nvidia says this community uses Hugging Face to share models, datasets and applications.

More than 3 millionModels shared

The company also cites 500,000 datasets and 1 million applications on the platform.

More than 200,000Companies using the platform

Nvidia says companies use Hugging Face to discover, evaluate, customize and deploy AI.

From contributor to owner

Nvidia frames the deal as a way to scale Hugging Face, strengthen its infrastructure and broaden access for developers and institutions. It already says it has released more than 500 models and more than 250 open datasets on Hugging Face, and calls itself the platform’s largest contributor of open models and data.

Open models allow organizations to download and customize a model for their own purposes, rather than use only proprietary AI services. Nvidia’s commitments preserve that choice on paper; after closing, the consequential measure will be whether third-party models, clouds, inference providers and accelerators retain the support Nvidia has promised.

Nvidia says Hugging Face’s team will join the company while keeping the Hugging Face brand. For a platform built around broad model and infrastructure choice, that operating record—not the acquisition announcement—will determine how the new ownership is experienced by its users.

Editorial analysis

Our Read

Our read: Nvidia is buying a shared layer of the AI ecosystem, not simply adding another software product. Its promise not to require Nvidia compute addresses the central tension directly: Hugging Face serves builders using different models, clouds and accelerator types, while Nvidia sells one of those infrastructure options. The meaningful test will come in product decisions after the deal closes—especially whether competing inference providers and non-Nvidia hardware retain equal practical support as Nvidia adds engineering capacity to the platform.

Sources

  1. blogs.nvidia.comNVIDIA to Acquire Hugging Face
  2. apnews.comNvidia to spend $13 billion on Hugging Face, which will remain an open source platform
  3. tasnimnews.irNVidia to Buy AI Startup Hacked by OpenAI in $12.9 Billion Deal - Space/Science news - Tasnim News Agency