SANTA CLARA, CALIFORNIA / RankWire.AI / – Nvidia has agreed to a $12.93 billion acquisition of the artificial intelligence platform Hugging Face. The definitive agreement was signed on September 2, 2026. Nvidia will compensate Hugging Face stockholders approximately $11.9 billion, subject to standard adjustments. Additionally, the deal includes up to about $1 billion in equity-based retention awards for eligible employees. Nvidia anticipates completing the transaction in the first half of 2027 after securing the necessary approvals and satisfying other closing conditions.
Hugging Face operates one of the most extensive platforms for sharing AI models, datasets, software tools, and applications. Nvidia states that the platform reaches over 18 million developers, researchers, and creators globally. It hosts more than 3 million models and roughly 500,000 datasets, in addition to offering access to over 1 million applications. Over 200,000 companies utilize Hugging Face services for AI development, evaluation, customization, and deployment across diverse computing environments.
Both companies confirmed that Hugging Face will keep functioning as an open platform after the deal’s completion. Developers will still have the freedom to select their models, frameworks, cloud services, and computing platforms. Nvidia hardware will not become a prerequisite for utilizing Hugging Face tools or deploying models via the platform. The platform will also continue to support open-source and open-weight models created by other developers. Hugging Face’s services will sustain support for multiple clouds, inference providers, and accelerator platforms, including hardware from other semiconductor manufacturers.
Hugging Face Maintains Commitment to Open Development
Hugging Face was founded in 2016 by Clément Delangue, Julien Chaumond, and Thomas Wolf. The company later expanded into hosting models, datasets, developer libraries, and cloud services for AI projects. In August 2023, Hugging Face achieved a valuation of $4.5 billion during a funding round that raised $235 million from technology investors. Prior to the acquisition agreement, Nvidia had collaborated with Hugging Face on projects that linked developers with Nvidia’s computing resources and software through familiar development tools.
Nvidia disclosed the agreement in a Form 8-K filed with the U.S. Securities and Exchange Commission on September 3, 2026. The filing indicates that the acquisition process is still ongoing and has not yet been finalized. Regulatory approvals and standard closing conditions are still pending. Nvidia also outlined commitments regarding the continued operation of Hugging Face, including ongoing access to models and datasets, support for multiple clouds, and compatibility with hardware from companies other than Nvidia.
Expected Closure Set for Early 2027
Nvidia already holds a significant presence within the Hugging Face developer community. The company reports having published more than 500 models and over 250 open datasets on the platform. Nvidia also offers software libraries and development tools that users can modify and incorporate into their own projects. Hugging Face supports developers through various phases of AI development, including model discovery, testing, customization, and deployment. The platform also provides infrastructure for corporations, research institutions, and independent developers creating AI applications.
The acquisition of Hugging Face by Nvidia will undergo review until all conditions are satisfied. Nvidia projects that the process will conclude in the first half of 2027. Under the terms announced, Hugging Face will continue supporting models and tools from the broader AI ecosystem. Developers will maintain their options for frameworks, cloud platforms, inference providers, and hardware. Both companies have committed to preserving Hugging Face’s multi-cloud and multi-accelerator strategy after the deal closes.