Nvidia in talks to buy Hugging Face for over $13 billion

According to Business Insider, Nvidia is in talks to acquire AI platform Hugging Face, valuing it at over $13 billion, potentially one of Nvidia's largest deals ever. A source says serious discussions occurred in recent weeks, but no agreement has been reached and talks could still fall through. Microsoft also met with Hugging Face, but discussions haven't progressed.

Hugging Face hosts millions of AI models and datasets, with annualized revenue growth up 50% in two months, surpassing $150 million. It uses a freemium model, with about 3-5% of users converting to paid plans, and paid customers have grown to over 2,000. If acquired, Nvidia could expand its reach among developers, but it might affect Hugging Face's neutrality, as it supports hardware from competitors like AMD and Intel.