How much is Nvidia paying for Hugging Face?

Nvidia is acquiring Hugging Face for $12.93 billion.

Will Hugging Face still be open after the acquisition?

Yes, Hugging Face will remain an open platform for the entire AI ecosystem, and Nvidia compute will not be required to build on or deploy through the platform.

What is Hugging Face's financial situation?

Hugging Face has raised over $395 million in funding. Last month, it was reported to be clocking $150 million in annualized revenue.

Open-Source AIAI Business & IndustryTechCrunch AISep 3, 2026Sep 3, 2026, 22:03 JST

Nvidia acquires Hugging Face for $12.93B

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3 Key Points

What happened
Nvidia confirmed it will acquire Hugging Face for $12.93 billion. Hugging Face's platform hosts three million models and over 18 million developers.
Why it matters
Hugging Face will continue to support open models, with Nvidia compute not being required. For Nvidia, controlling an open ecosystem can benefit its chips and sell unused capacity to enterprises.
What to watch
The deal’s impact hinges on regulatory approval, which will determine whether Nvidia can close the acquisition and integrate the open platform without disrupting developer access. Watch for the final ruling on the $12.93 billion transaction.

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Context & Analysis

The acquisition marks a significant shift for Nvidia, which has been a dominant hardware provider for AI. By bringing Hugging Face under its wing, Nvidia gains control over a platform that hosts millions of models and a large developer community. This move aligns with Nvidia's strategy to foster an open ecosystem that can drive demand for its chips, while also offering potential to package its unused compute capacity with Hugging Face's offerings.

Hugging Face's open-source ethos appears to be preserved, as CEO Jensen Huang stated the platform will remain open and not require Nvidia compute. This reassurance may help ease concerns about the platform becoming proprietary. However, the deal comes after Hugging Face previously rejected a $500 million offer from Nvidia, and last year the company reported $150 million in annualized revenue, approaching profitability.

The acquisition is part of Nvidia's broader investment in AI, including a reported $6 billion deal with coding startup Poolside and over $50 billion infused into frontier labs. Nvidia's CEO has also been a vocal advocate for open models, emphasizing their role in cybersecurity and national competitiveness, which adds a strategic dimension to this purchase. The transaction awaits regulatory approval, which could have implications for the AI ecosystem's openness and competition.

FAQ

How much is Nvidia paying for Hugging Face?: Nvidia is acquiring Hugging Face for $12.93 billion.
Will Hugging Face still be open after the acquisition?: Yes, Hugging Face will remain an open platform for the entire AI ecosystem, and Nvidia compute will not be required to build on or deploy through the platform.
What is Hugging Face's financial situation?: Hugging Face has raised over $395 million in funding. Last month, it was reported to be clocking $150 million in annualized revenue.

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Also reported by Semafor Tech, The Verge AI

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