Nvidia Nears $14 Billion Deal for AI Startup Hugging Face
Nvidia is close to acquiring AI startup Hugging Face for about $14 billion, according to people familiar with the matter, in a deal that could be reached as early as this week. The proposed transaction includes $1 billion in retention bonuses for Hugging Face employees. Hugging Face, founded in 2016, was valued at $4.5 billion in a funding round three years ago.
Nvidia is nearing the acquisition of artificial-intelligence startup Hugging Face for $14 billion. The deal also includes $1 billion in retention bonuses for Hugging Face employees. People familiar with the matter asked not to be identified because the information has not been made public.
Representatives for Nvidia and Hugging Face declined to comment. Nvidia is already one of Hugging Face’s backers; other investors include Alphabet’s Google, Amazon, Intel and Salesforce.
Founded in 2016, Hugging Face operates a platform for sharing AI models that users can access free of charge. The startup was valued at $4.5 billion in a funding round three years ago.
Why this event matters
The event has a measured impact on 3 industrys. The strongest current signal is positive for Artificial Intelligence, with intensity 85/100 and 75% confidence over a medium term horizon.
Artificial Intelligence
- Direction
- positive
- Intensity
- 85
- Confidence
- 75%
- Horizon
- Medium term
Semiconductor Value Chain
- Direction
- positive
- Intensity
- 70
- Confidence
- 70%
- Horizon
- Medium term
Cloud Services & Data Centres
- Direction
- mixed
- Intensity
- 50
- Confidence
- 60%
- Horizon
- Medium term
Impact figures are analytical estimates that combine direction, intensity, confidence and event importance. They are not investment advice.