SANTA CLARA, CALIFORNIA / RankWire.AI / – Nvidia has finalized a binding agreement to acquire Hugging Face in a deal valued at approximately $12.93 billion. The agreement was signed on September 2, 2026, with Nvidia set to pay about $11.9 billion to Hugging Face shareholders, subject to standard adjustments. The deal also encompasses up to roughly $1 billion in equity-based retention awards for qualifying employees. Nvidia anticipates completing the acquisition in the first half of 2027, contingent on necessary approvals and closing conditions.
Hugging Face offers a popular platform for AI models, datasets, applications, and developer tools. Nvidia reports that over 18 million developers, researchers, and creators utilize this service. The platform hosts over 3 million AI models and nearly 500,000 datasets, supporting more than 1 million applications. Additionally, more than 200,000 enterprises rely on Hugging Face for activities such as model discovery, testing, customization, and deployment across diverse computing environments.
Hugging Face will continue to support developers working with various models, frameworks, cloud providers, and computing platforms. Nvidia clarified that its hardware will not become mandatory for using the platform. The platform will maintain its support for open-source and open-weight models from numerous developers and organizations. Compatibility with multiple cloud services and accelerator technologies will also stay intact. Nvidia has reaffirmed its commitment to ensuring ongoing compatibility with silicon products made by companies other than Nvidia after the deal’s closure.
Open platform access across diverse hardware options to persist
Founded in 2016 by Clément Delangue, Julien Chaumond, and Thomas Wolf, Hugging Face expanded from providing software tools to hosting models, datasets, applications, and cloud-based AI development services. The company reached a valuation of $4.5 billion in August 2023 after raising $235 million in funding. Nvidia’s existing relationship with Hugging Face predates the acquisition agreement, with past collaborations involving projects that connected Hugging Face users with Nvidia’s computing resources and software.
Nvidia disclosed the agreement through a Form 8-K filed with the U.S. Securities and Exchange Commission on September 3, 2026. The filing indicates that the acquisition is still pending and lists the conditions that must be fulfilled before finalization, including regulatory approvals and customary closing provisions. Nvidia has also outlined commitments for Hugging Face post-acquisition, such as ongoing access to models and datasets, multi-cloud compatibility, and support for hardware from other semiconductor manufacturers.
Regulatory approval remains a prerequisite for completion
Nvidia already offers a broad range of AI resources through Hugging Face’s platform, hosting over 500 models and more than 250 open datasets. The company also provides software libraries and development tools that users can adapt for their projects. Hugging Face serves a broad spectrum of clients, from corporate entities to researchers and independent developers, across phases like model discovery, performance evaluation, system customization, and AI application deployment.
Until all conditions and approvals are met, the Nvidia acquisition of Hugging Face remains incomplete. Nvidia anticipates closing the $12.93 billion deal within the first half of 2027. Under the commitments made, Hugging Face will sustain multi-cloud, multi-framework, and multi-platform support. Developers will retain access to hardware options beyond Nvidia products. Until the transaction is finalized, both companies will operate as separate entities in accordance with the signed agreement.