(Image credit: Nvidia)
Nvidia started its AI business with humble AI accelerators, then moved to AI servers, and later to rack-scale and data center-scale platforms. With its multi-faceted AI strategy in place, the company is now looking beyond hardware. On Thursday, Nvidia said it had agreed to acquire Hugging Face, one of the world's largest platforms for distributing and developing open AI models, for $12.93 billion. Hugging Face will retain its brand and remain open to models, frameworks, clouds, inference providers, and computing platforms.Go deeper with TH Premium: AI and data centersNvidia positions the deal as an expansion of its commitment to open-weight AI models and as a way to popularize the use of artificial intelligence in general by enabling different types of developers to use appropriate open models for their products. The move is strategically important for Nvidia as it commands the lion's share of the AI hardware market and wants demand for its hardware to grow. Yet, Nvidia promises not to force participants of the platform into its hardware ecosystem.Hugging Face currently serves more than 18 million developers, researchers, and creators, who have uploaded over 3 million models, 500,000 datasets, and 1 million applications, according to Nvidia. Furthermore, more than 200,000 companies use the service to find, assess, modify, and deploy AI models. Nvidia claims this business model will remain intact after the acquisition: Hugging Face will continue to host open-source and open-weight models from different developers and support multiple clouds and accelerator architectures.Meanwhile, Nvidia says that its infrastructure, engineering resources, and global presence can improve Hugging Face's platform reliability, safety, model evaluation, inference, and deployment capabilities, which means that it will increase the portion of Hugging Face that relies not only on its hardware but also on its resources and global presence.
