NVIDIA has agreed to acquire Hugging Face in a deal valued at $12,930,300,000, bringing one of the best-known platforms for open-source AI models, datasets and applications into the chipmaker’s business. The two companies entered into a definitive agreement on September 2, 2026, and NVIDIA announced the agreement on its blog on September 3, 2026.
The transaction is expected to close in the first half of 2027. Until then, the agreement remains a planned acquisition rather than a completed transaction. The deal includes an approximately $11.9 billion purchase price payable to Hugging Face stockholders and an equity-based retention program of up to approximately $1.0 billion for Hugging Face employees joining NVIDIA.
What Hugging Face Brings to NVIDIA
Hugging Face operates a platform and community for developing, sharing and deploying open-source models, datasets and applications. Its reach includes more than 18 million users, including developers, researchers and creators, who use the platform to work with AI tools and resources.
The platform shares more than 3 million models, 500,000 datasets and 1 million applications. More than 200,000 companies use Hugging Face, giving the acquisition a broad connection to the people and organizations building with open-source AI.
Those figures describe a platform that covers more than model hosting alone. Hugging Face brings together models, datasets and applications in one community, while its users include the people developing, researching and creating with those resources. NVIDIA described the acquisition as a way to scale the platform, strengthen its infrastructure and expand access to AI.
NVIDIA also committed to keep Hugging Face’s platform open and support open-source models. That commitment addresses the central role open access plays in Hugging Face’s platform, where users develop, share and deploy models, datasets and applications.
A Deal Built Around Open-Source AI
NVIDIA is already the largest contributor of open models and data to Hugging Face. It has contributed more than 500 models and more than 250 open datasets, tying the two companies together before the acquisition agreement.
NVIDIA has also made multiyear investments and contributions to open-source platforms, including Hugging Face. The planned acquisition therefore combines an existing relationship with a larger transaction that includes both a purchase price and employee retention funding.
The $12,930,300,000 total reflects those two parts of the transaction: approximately $11.9 billion for Hugging Face stockholders and up to approximately $1.0 billion in equity-based retention for employees joining NVIDIA. The retention program is designed for Hugging Face employees who become part of NVIDIA under the agreement.
For Hugging Face users, the stated direction is clear: NVIDIA says it plans to keep the platform open and support open-source models. The company also describes the acquisition as a way to strengthen the infrastructure behind Hugging Face and expand access to AI.
What Happens Next
The expected closing date is the first half of 2027. The agreement was signed on September 2, 2026, and NVIDIA’s public announcement followed on September 3, 2026. The transaction’s next major milestone is its expected completion during that 2027 window.
The 8-K filing also warns that government restrictions may negatively impact NVIDIA’s business and the Hugging Face platform. That warning places a condition around the companies’ plans, even as NVIDIA presents the deal as a way to scale Hugging Face and support open-source AI.
For now, the agreement links NVIDIA’s work with open models and data to Hugging Face’s community of more than 18 million users. It also connects NVIDIA with a platform containing more than 3 million models, 500,000 datasets and 1 million applications, along with more than 200,000 companies using its services.
The acquisition will be measured by what happens to that open platform after the expected closing in the first half of 2027. NVIDIA has committed to keeping Hugging Face open, while the deal gives the company a path to scale its infrastructure and expand access to AI.
