Nvidia has agreed to acquire Hugging Face for $12.9 billion, according to a report by The Information.
The deal would be one of Nvidia's largest acquisitions, despite Hugging Face's reported annualised revenue of only $150 million.
Nvidia had previously invested in Hugging Face in 2023 and reportedly made a $500-million investment offer last year, which was rejected.
Nvidia has agreed to acquire Hugging Face, an open-source repository for artificial intelligence (AI) models, for $12.9 billion, The Information reported on Wednesday.
If confirmed, the acquisition would be one of Nvidia's largest to date. It would give the company control of Hugging Face, which hosts open-source large language models and datasets, at a time when developers of closed-source models such as Anthropic and OpenAI are working on their own chips as alternatives to Nvidia's graphics processing units.
1 August 2026
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The reported price is significantly higher than Hugging Face's annualised revenue of $150 million, according to an earlier report by The Information.
Nvidia was among investors, along with Salesforce and Alphabet's Google, that backed Hugging Face in a $235 million funding round in 2023, which valued the company at $4.5 billion. According to a Financial Times report in January, Hugging Face had rejected a $500 million investment offer from Nvidia last year that would have valued it at $7 billion.
On Wednesday, Nvidia forecast a 70% jump in revenue for the next fiscal year and said it has $18 billion committed to equity investments through fiscal year 2027.
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The report comes a month after Hugging Face experienced a security incident in which an OpenAI model was involved in a hack that compromised its infrastructure.
