Nvidia has agreed to buy AI platform Hugging Face for $12.9 billion in a deal that brings one of the world's largest AI developer communities under its control. The acquisition values Hugging Face at approximately £9.5 billion and is considered one of Nvidia's biggest purchases as it expands into software. Hugging Face, founded in 2016, has over 18 million developers using its platform, which hosts more than three million AI models, with over 200,000 companies utilizing the service. The deal could help Nvidia expand its presence in AI software and make open-source AI tools more widely available to businesses and researchers.
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Nvidia has agreed to buy artificial intelligence platform Hugging Face in a deal valued at about $12.9bn (£9.5bn), one of the AI chipmaker's biggest acquisitions as it expands into software.
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it → publish → software
Hugging Face, founded in 2016, has become a popular online platform where developers and researchers can find, share and test AI models and tools.
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developers → found → models
It recently made headlines after rogue AI agents that escaped a testing environment hacked into it, raising questions about AI safety and oversight.
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that → make → safety
The deal would bring one of the world's largest AI developer communities into Nvidia and give it control of a leading open-source platform - an alternative to systems offered by OpenAI and Anthropic.
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deal → bring → OpenAI
Nvidia is best known for making the advanced chips used to train and run AI systems.
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Nvidia → know → systems
Demand for those chips has surged as companies race to build AI products.
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companies → surge → products
The companies already work together to help developers use Nvidia's computing services through the platform.
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developers → work → platform
According to the companies, Hugging Face is used by more than 18 million developers and hosts more than three million AI models.
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Face → accord → models
More than 200,000 companies use the platform, they said.
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they → use → platform
Nvidia said Hugging Face would remain open to developers and that users would not be required to use its chips or services.
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users → say → chips
Nvidia shares ended Thursday trading up 1.8%.
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shares → end → ?
Under the agreement, Nvidia will pay about $11.9bn to Hugging Face investors and offer up to $1bn in stock-based incentives to employees who join the company.
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who → pay → company
The deal could also help Nvidia expand its presence in AI software as some of its biggest customers, including Microsoft, Meta and OpenAI, develop their own chips.
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some → help → chips
Open-source AI models can be downloaded and adapted by users, unlike many AI systems that are controlled by a single company.
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that → download → company
Supporters say the approach can make the technology more accessible to businesses, researchers and developers.
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technology → say → businesses
Yaël Ossowski, deputy director of advocacy group Consumer Choice Center, said the acquisition was "a vote of confidence in open AI" and suggested it could encourage competition by making AI tools more widely available to start ups and smaller companies.
The deal will be a "major victory for innovators and consumers worldwide" if Nvidia keeps Hugging Face open and accessible, he added.
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he → say → Face
The deal would also give Nvidia access to one of the world's largest AI developer communities as competition in the sector intensifies.
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competition → give → sector
Founded by French entrepreneurs Clément Delangue, Julien Chaumond and Thomas Wolf, Hugging Face also provides datasets, software tools and cloud services used to build AI applications.
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Face → found → applications
Hugging Face is backed by investors including Amazon, AMD and Intel.
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Face → back → Amazon