Nvidia Acquires Hugging Face for $13 Billion to Combine GPU Power with Open‑Source AI Models

Nvidia disclosed a plan to purchase Hugging Face, the creator of the popular open‑source Transformers library, for roughly $13 billion in cash, marking one of the largest deals in the AI sector this year.

Acquisition aims to merge Nvidia’s GPU hardware expertise with Hugging Face’s community‑driven model ecosystem, allowing faster training and deployment of large language models for corporate customers and reducing reliance on third‑party cloud services.

Regulators in the United States and European Union have opened reviews of the $13 billion transaction, citing concerns that the combined entity could limit competition in the rapidly expanding AI infrastructure market.

Analysts project that integrating Hugging Face’s open‑source models with Nvidia’s hardware could lift Nvidia’s non‑hardware revenue by significant double‑digit percentages, positioning the company as a leading provider of end‑to‑end AI solutions across industries.