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Nvidia Acquires Hugging Face in $12.9 Billion Deal
Nvidia has agreed to acquire AI startup Hugging Face in a deal worth $12.9 billion, which marks a significant increase from its $4.5 billion valuation in 2023.
Hugging Face hosts and provides access to open-source AI models and data sets, allowing developers to download and customize them for specific purposes.
Nvidia CEO Jensen Huang has spoken in support of open models, arguing they can improve safety and accelerate innovation.
The acquisition is expected to close in the first half of next year, with Nvidia paying $11.9 billion to Hugging Face shareholders and an additional $1 billion in equity to retain employees.