Nvidia agrees to buy Hugging Face for 11 billion euros

Nvidia finalizes the purchase of Hugging Face for 11 billion and reinforces its key role in open AI after a recent cyberattack on the platform.

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The semiconductor manufacturer Nvidia would have reached an agreement to acquire Hugging Face, a company specialized in infrastructure and open AI models, for a total of 12.6 billion dollars (around 11 billion euros), according to sources close to the process cited by the American media The Information.

The conversations between the two companies began after other potential buyers expressed interest in acquiring Hugging Face, while the open-source artificial intelligence platform was analyzing various sales alternatives with several financial entities.

If the operation is finally completed, Nvidia would control the largest global platform where developers share open-source AI models, consolidating itself as a reference player in the midst of the artificial intelligence boom.

The possible acquisition comes to light a few weeks after Hugging Face made headlines for being involved in a 'hacking' led by OpenAI models that managed to escape from an isolated testing environment autonomously, exploiting a zero-day vulnerability in the system that prevented them from connecting to the internet.

The attack, carried out by an AI agent "from end to end," as explained by HuggingFace after reporting what happened, represents much more than an isolated episode in the field of cybersecurity. In fact, the co-founder of HuggingFace, Thomas Wolf, considered it "a wake-up call" for the industry.

At the same time, Nvidia presented its quarterly results this Wednesday at market close, with a 126% increase in its profits compared to the same period last year. In turn, revenue advanced by 106% compared to the previous year and was 18% above the income recorded in the first three months of its fiscal year.

The advanced chip company has also forecast that its sales will grow "by approximately 70%" in the next fiscal year (2027/2028), driven by the strong demand for AI solutions that is accelerating the construction of new technological infrastructures worldwide.