Nvidia Acquires Hugging Face for $13 Billion, Expanding Its AI Reach
Nvidia has finalized the $13 billion acquisition of Hugging Face, a key open-source AI platform, marking a major shift in the competitive landscape for artificial intelligence technology and development.
By Marcus Bell · First published 3 Sept 2026
In brief
- Nvidia has completed the purchase of Hugging Face for about $13 billion in a deal confirmed by both companies.
- Hugging Face is a widely used open-source platform for AI models and data, popular among developers and researchers.
- The acquisition follows earlier reports of negotiations and comes after Hugging Face approached Nvidia's CEO weeks before the announcement.
- Deal values varied slightly in media reports, but Nvidia confirmed the final price as $13 billion, making it one of the largest AI acquisitions.
- Nvidia aims to use Hugging Face's platform to expand access to AI tools and strengthen its position in the AI industry.
Timeline · 4 moments
Nvidia enters advanced talks to acquire Hugging Face
Financial Times World ↗Reports cite deal value at $12.93 billion for Hugging Face acquisition
The Verge - All Posts Tech ↗Hugging Face approached Nvidia's CEO weeks before deal announcement
CNBC ↗Nvidia finalizes the acquisition, confirming the $13 billion figure
AI Latest - Wired ↗How it started
Hugging Face began as an open-source platform focused on sharing AI models and datasets. Over time, it became a central hub for developers and researchers working on machine learning projects. Nvidia, already a dominant force in AI hardware, had previously considered investing in Hugging Face but was turned down as the startup wanted to maintain independence, according to Financial Times World.
In recent months, Hugging Face reportedly initiated contact with Nvidia's CEO Jensen Huang. This move set the stage for talks that would eventually lead to one of the largest acquisitions in the AI sector.
How it unfolded
On September 3, 2026, reports surfaced that Nvidia was in advanced talks to acquire Hugging Face. The Financial Times World first broke the story, noting that the previous year, Hugging Face had declined a significant investment offer from Nvidia.
Shortly after, Bloomberg Technology confirmed that Nvidia had agreed to buy Hugging Face for about $13 billion. Other outlets such as The Verge and Engadget cited a slightly lower figure of $12.93 billion, reflecting minor discrepancies in reported deal values.
BetaNews reported that Nvidia confirmed the acquisition, describing it as a move to help scale up Hugging Face's operations. The New York Times highlighted the significance of the deal for Nvidia's status in Silicon Valley, emphasizing its growing influence over open-source AI technology.
CNBC provided further detail, reporting that Hugging Face had approached Nvidia weeks before the announcement. Nvidia's CEO, Jensen Huang, stated that the acquisition would help expand access to AI for developers and institutions worldwide.
Wired's AI Latest section described the deal as a nearly $13 billion bet on open-source AI, underlining Nvidia's commitment to maintaining a strong position in the generative AI software market.
Where it stands
Nvidia has now officially acquired Hugging Face for $13 billion. The final price was confirmed by Nvidia, resolving minor differences in reported figures among outlets. The deal positions Nvidia as a leader not only in AI hardware but also in the open-source software space.
Hugging Face's platform is expected to benefit from Nvidia's resources, infrastructure, and technology, which could mean broader access to advanced AI tools for researchers and developers. Both companies have stated that the goal is to scale up operations and accelerate innovation in the AI sector.
What to watch
Attention will now turn to how Nvidia integrates Hugging Face's platform and staff into its broader AI ecosystem. The industry will be watching for changes to Hugging Face's open-source approach and whether the acquisition will alter its community-driven model. Regulatory review or additional disclosures about the integration process could also shape what happens next.

