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[BUSINESS] · United States · 100 sources

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Nvidia to acquire Hugging Face for $12.9 billion

Nvidia has reportedly agreed to acquire the open-source AI platform Hugging Face for approximately $12.9 billion. This strategic move aims to expand Nvidia's influence beyond semiconductor hardware into the software and model distribution layers of the AI ecosystem. Hugging Face serves as a central hub for developers to host and share millions of AI models and datasets.

The acquisition comes alongside strong financial performance from Nvidia. The company reported $96.2 billion in revenue for its second fiscal quarter, driven largely by a 117% increase in data center revenue. Following these results, Nvidia's stock rose nearly 9%, and its market capitalization reached approximately $5.52 trillion.

CEO Jensen Huang noted that demand for AI remains exceptionally high, stating that demand is “much greater than 70% growth.” Looking ahead, Nvidia expects revenue growth of 70% for fiscal year 2028. The company is also expanding its infrastructure partnerships, including plans for Amazon Web Services to deploy an additional 2 million Nvidia GPUs.

Entities

AWS · Amazon · Amazon Web Services · Clement Delangue · Colette Kress · Hugging Face · Jensen Huang · Nvidia · OpenAI · The Information

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Sources

Nvidia's Not Done Yet [www.brownstoneresearch.com]