Nvidia Corp. is in advanced negotiations to acquire AI startup Hugging Face in a transaction valued at roughly $14 billion, according to people familiar with the matter. One of the sources said an agreement could be reached as soon as this week, but talks have not been completed and timing and terms remain subject to change.
The reported structure of the deal includes a $12.9 billion purchase price plus about $1 billion in employee retention incentives. Specifics — including the final price and the exact form of the retention package — could shift as negotiations continue.
If the transaction goes through, it would represent the largest move to date by Jensen Huang, Nvidia’s chief executive, aimed at accelerating the deployment of AI technologies and expanding Nvidia’s customer reach. Under the proposed deal, Nvidia would gain control of Hugging Face’s platform, which is widely used by developers to publish and share AI models.
The reporting of these negotiations was attributed to Erstemarket. Because discussions are ongoing, the parties have not made a formal announcement and the terms could change before any deal is finalized.
