Nvidia to Acquire Hugging Face for $12.93 Billion on September 6

NVIDIA Corporation announced on September 2, 2026, that it has entered into a definitive agreement to acquire an unknown majority stake in Hugging Face, Inc. for $12.93 billion. The transaction includes an approximately $11.9 billion purchase price payable to Hugging Face stockholders, subject to certain adjustments, and an equity-based retention program of up to approximately $1 billion for Hugging Face employees joining NVIDIA. The deal represents approximately three times Hugging Face's last known private valuation and marks NVIDIA's second-largest acquisition in history. Hugging Face has become the central hub for open-source AI development, used by millions of developers worldwide to build, share, and deploy machine learning models. NVIDIA CEO Jensen Huang announced the acquisition on Wednesday, stating that NVIDIA expects the acquisition to provide additional resources to Hugging Face and support developers building, sharing, and deploying open models and applications. NVIDIA has committed to keeping Hugging Face's platform open, consistent with the company's existing practices. The acquisition is subject to customary closing conditions, including receipt of required regulatory approvals, and is expected to close in the first half of 2027. This move represents a massive bet on open-source AI technology and positions NVIDIA to further strengthen its dominance across the AI ecosystem. NVDA shares rose 0.87% following the announcement.
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