Nvidia Seeks Dominance Over AI Model Hub with $12.9 Billion Hugging Face Acquisition

Nvidia is reportedly closing in on a $12.9 billion deal to acquire Hugging Face, making it one of the largest purchases in its history.

The deal would give Nvidia control over the popular AI model hub, which many major players in the industry already use, including Meta, Google, Microsoft, Amazon, Intel, and Nvidia itself.

Hugging Face generates more than $150 million in annualized revenue, up from about $100 million just a couple of months earlier, according to The Information. At this price, Nvidia would be paying roughly 80 times forward revenue, which is not a typical software multiple.

This deal is significant because it would give Nvidia control over the default destination for many developers, allowing it to influence model ranking, hardware support, and pricing before anyone even announces a shift in strategy.