SUMMARYNvidia has agreed to acquire Hugging Face for about $12.9 billion, according to reporting cited on Wednesday. If completed, the deal would place one of the most widely used open-source AI collaboration platforms under Nvidia’s ownership, strengthening the chipmaker’s position across AI software, models, and applications.
The Information reported on Wednesday that Nvidia has agreed to buy open-source platform Hugging Face for $12.9 billion. "Deal talks began after Hugging Face, an open-source AI platform developers use to collaborate, test and share tools, received acquisition interest from another suitor," reports CNBC, citing the (paywalled) report. Business Insider separately reported the acquisition talks. From CNBC: If completed, the acquisition would put one of the most widely used platforms for sharing and working with open-source AI models under Nvidia's ownership, expanding the chipmaker's reach further into the software and model ecosystem. Siddy Jobe, a fund manager at Eonopolis Exponential Technologies funds, said it made sense for Nvidia to target a company like Hugging Face, as Nvidia has made it clear that it is not looking to discriminate between closed and open-source models.
"I think Nvidia is very much a community, a platform-based company, and in that respect, I think Hugging Face fits perfectly within that. There is this five-layer cake from Nvidia, and foundational models are one of them," Jobe told CNBC's Squawk Box Europe on Thursday. "It is clear that Nvidia wants to be integrated in the entire stack vertically, going from energy to foundational models and also to applications," he added.