The American NVIDIA Corp. signed an agreement to acquire the Hugging Face AI platform for $12.9 billion. This is reported in a press release from Nvidia.
If the deal is successful, one of the most popular open source AI model repositories will come under NVIDIA's control, strengthening the chipmaker's influence in the ecosystem of software and AI models.
NVIDIA, after publishing its earnings report, including a more than doubling of net profit for the quarter to $53.95 billion and an increase in revenue to $96.22 billion, entered into a $20 billion licensing agreement with AI startup Groq in line with a broader strategy aimed at vertically integrating the entire AI stack, "from energy supply down to basic models and applications."
Nvidia management expects revenue growth of 70% in 2028. The company's chips continue to play a key role in the creation and maintenance of advanced AI models, and NVIDIA is increasingly providing financial support to finance new data centers.
At the same time, NVIDIA is facing increasing competition from Advanced Micro Devices, Google and other companies amid rising memory chip prices due to global shortages.
Hugging Face, Inc. is an American company developing tools for machine learning—based applications. The company occupies a key position in the modern AI ecosystem. The headquarters is located in New York (USA).
NVIDIA is an American company that manufactures high—performance graphics processors (GPUs) and systems on a chip (SoC), as well as software for video games, high-performance computing, artificial intelligence, unmanned vehicles, etc. The headquarters is located in Santa Clara, California. The market capitalization is $2 trillion.
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