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Nvidia to buy Hugging Face

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kram182

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https://www.theinformation.com/arti...ce-model-repository-hugging-face-12-9-billion (paywalled)

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Edit: Reuters reporting (non-paywalled) off The Information as well:

https://www.reuters.com/technology/...ion-deal-business-insider-reports-2026-08-27/
 
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Dan_D said:
How the fuck is hugging face worth 12.9 billion?
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How much is owning everything worth? The goal is to own everything. Open source is a repugnant crime with that attitude. Nvidia is laying the foundation to control the biggest open source testbed for the industry they control. Now they control just a little bit more.

Ownership is all that matters. Money is fake.
 
kram182 said:
Nvidia makes a billion in revenue a day according to the latest earnings, so 12/13 days of work to own the open source platform for AI, not a bad deal
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Also people are missing the fact that the US Dollar has all signs pointing to be worthless very soon.

Hugging Face is worth 13 billion 2026 dollars. Hell, it could be worth a Gagillion Bajillion dollars. Soon that number will be just as real as any ammount.
 
KazeoHin said:
Also people are missing the fact that the US Dollar has all signs pointing to be worthless very soon.
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Meh, people have been saying that for years, decades even.

As long as this is what actually backs up the dollar, nothing really changes besides numbers on a screen:

1787810833354.png
 
I suppose this is a move to be like MS <-> Github? Except betting on the future - once every last corner of github is scraped its worthless and these LLMs are the future.
 
Dan_D said:
How the fuck is hugging face worth 12.9 billion?
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I was discussing this with ChatGPT the other day, and it said this:

"Why Nvidia may actually WANT Hugging Face to stay open​


This is the interesting part.


Nvidia doesn't necessarily need to make money from Hugging Face subscriptions.


It makes money when people run AI.


Imagine you download:


Qwen → Nvidia GPU


Llama → Nvidia GPU


Wan → Nvidia GPU


Stable Diffusion → Nvidia GPU


Mistral → Nvidia GPU


Nemotron → Nvidia GPU


Nvidia wins.


Hugging Face is therefore an enormous funnel into accelerated computing.


A developer goes to HF and thinks:


"Oh, here's a nice 70B model."
Click to expand...

Then discovers:


"I need 48–80 GB VRAM."
Click to expand...

And Nvidia is very happy. 😄


That helps explain why paying $12.9 billion for a company reportedly producing only about $150 million annualized revenue can make strategic sense. The value isn't merely Hugging Face's subscription revenue; it's the position HF occupies in the AI software ecosystem. Reuters makes essentially this strategic point when discussing Nvidia's broader investments throughout the AI stack.


Nvidia itself has also been moving toward, rather than away from, open models. It has released the Nemotron 3 family as open models and Cosmos 3 as an open foundation model."

And it makes sense to me. It is similar to when MS bought GitHub although they only store text files in their website (Code). But it is a gathering place for developers.
 
KazeoHin said:
You assume the owners of that fleet want the dollar to be worth something...
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You are correct. These companies are basically using Monopoly Money at this point so they can keep building these AI data centers. The data centers are for multi-use purpose infrastructure for the new systems they are building. They are working on replacing the Dollar into a digital token using cryptocurrency, all tied to a centralized digital bank that controls it all. Everyone will have to use digital IDs and it will all be stored in a data center vault blockchain. The digital ID will be how everything flows from this centralized system to everyone allowed to receive payments in the form of these blockchain tokens in that controlled environment.
 
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