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    Home»Tech News»Nvidia strikes $12.9bn deal to buy AI platform Hugging Face
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    Nvidia strikes $12.9bn deal to buy AI platform Hugging Face

    Ironside NewsBy Ironside NewsSeptember 3, 2026No Comments3 Mins Read
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    Nvidia has agreed to purchase synthetic intelligence platform Hugging Face in a deal valued at about $12.9bn (£9.5bn), one of many AI chipmaker’s largest acquisitions because it expands into software program.

    Hugging Face, based in 2016, has develop into a well-liked on-line platform the place builders and researchers can discover, share and take a look at AI fashions and instruments.

    It lately made headlines after rogue AI agents that escaped a testing environment appeared on its platform, raising questions about AI security and oversight.

    The deal would carry one of many world’s largest AI developer communities into Nvidia and provides it management of a number one open-source platform – an alternative choice to programs provided by OpenAI and Anthropic.

    Nvidia is greatest identified for making the superior chips used to coach and run AI programs. Demand for these chips has surged as firms race to construct AI merchandise.

    The businesses already work collectively to assist builders use Nvidia’s computing providers by means of the platform.

    In accordance with the businesses, Hugging Face is utilized by greater than 18 million builders and hosts greater than three million AI fashions. Greater than 200,000 firms use the platform, they mentioned.

    Nvidia mentioned Hugging Face would stay open to builders and that customers wouldn’t be required to make use of its chips or providers.

    Underneath the settlement, Nvidia can pay about $11.9bn to Hugging Face buyers and provide as much as $1bn in stock-based incentives to staff who be part of the corporate.

    The deal might additionally assist Nvidia increase its presence in AI software program as a few of its largest prospects, together with Microsoft, Meta and OpenAI, develop their very own chips.

    Open-source AI fashions might be downloaded and tailored by customers, not like many AI programs which are managed by a single firm.

    Supporters say the method could make the know-how extra accessible to companies, researchers and builders.

    Yaël Ossowski, deputy director of advocacy group Shopper Selection Middle, mentioned the acquisition was “a vote of confidence in open AI” and advised it might encourage competitors by making AI instruments extra extensively obtainable to start out ups and smaller firms.

    The deal can be a “main victory for innovators and customers worldwide” if Nvidia retains Hugging Face open and accessible, he added.

    The deal would additionally give Nvidia entry to one of many world’s largest AI developer communities as competition in the sector intensifies.

    Based by French entrepreneurs Clément Delangue, Julien Chaumond and Thomas Wolf, Hugging Face additionally offers datasets, software program instruments and cloud providers used to construct AI functions.

    Hugging Face is backed by buyers together with Amazon, AMD and Intel.



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