Nvidia reportedly agreed to buy Hugging Face for $12.9 billion, potentially taking control of an open-source AI hub with 13 million users and 3 million models. Key Points: The Information rep
Nvidia reportedly agreed to buy Hugging Face for $12.9 billion, potentially taking control of an open-source AI hub with 13 million users and 3 million models.
- The Information reported that the companies reached an acquisition agreement valued at $12.9 billion.
- Hugging Face has grown into a major distribution hub for open AI models, datasets and development tools.
- Neither company has publicly announced the transaction, so the reported terms still await formal confirmation.
The Information reported Aug. 27 that Nvidia had agreed to acquire Hugging Face, citing a source familiar with the matter, after earlier reports placed a possible deal near $13 billion. Neither company has announced the acquisition.
Hugging Face began in 2016 as a chatbot app before shifting toward machine learning and open-source development. The platform said it reached 13 million users and more than 500,000 public datasets in 2025, while its model repository passed 3 million entries in Aug. 2026.
The $12.9 billion price would be nearly three times Hugging Face’s $4.5 billion valuation from its 2023 Series D round, in which Nvidia participated. A purchase would place one of the largest open-model repositories under the same company that supplies much of the computing hardware used to train and run AI systems.
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Stifel analyst Ruben Roy said the reported acquisition fits Nvidia’s broader push into open AI and could deepen the company’s influence beyond chips through software and development infrastructure. Nvidia reported $96.2 billion in fiscal second-quarter revenue, giving it substantial capacity to fund acquisitions and investments.
Hugging Face co-founder Thomas Wolf declined to discuss a possible Nvidia sale in a Bloomberg interview but said the company had “always had a lot of interest.”
The platform’s neutrality could become a key issue because developers use it across competing hardware, model families and cloud services.
Nvidia has steadily expanded its relationship with Hugging Face. It joined the startup’s $235 million funding round in 2023, then later offered a $500 million investment that would have valued the company at $7 billion, an offer Hugging Face rejected. The reported $12.9 billion acquisition would mark a much larger step from investor and partner to owner.
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