Nvidia has agreed to buy Hugging Face for $12.9 billion, The Information reported Wednesday night, citing a source familiar with the matter. Business Insider, which first reported over the weekend that Hugging Face was fielding takeover interest, reported Wednesday night that the talks — which would value the company at more than $13 billion — had not yet produced a signed agreement and could still atomize.
TechCrunch reached out earlier to both Nvidia and Hugging Face for comment, and neither has yet responded. (Nvidia’s silence is particularly noteworthy here as the company has moved quickly in the past to address reports it considers inaccurate.)
Maybe it was destined from the start. Hugging Face, founded in 2016, is one of the most popular hubs where developers share and download open-source AI models. Buying it would give Nvidia a strong foothold in the world of open-source AI, right as open-source developers are doing their level best to catch up to closed AI systems from companies like Anthropic and OpenAI.
Why would Nvidia want that? Most obviously, it comes down to protecting its dominance in AI chips, which, from the outside at least, appears increasingly at risk, even with Nvidia’s aggressive chip-release schedule. Pretty much all of the biggest closed-source AI labs (OpenAI, Google, Amazon, and Anthropic) are now in the process of building their own AI chips to lessen their reliance on Nvidia. A thriving ecosystem of open-source AI models gives customers more alternatives to those closed labs, which in turn keeps more of the market dependent on Nvidia’s hardware. That’s also why Nvidia has already poured tens of billions of dollars into building its own open-source AI models.
Should we be surprised that Hugging Face’s days as an independent outfit appear numbered? Not really. Hugging Face CEO Clem Delangue has spent much of this year publicly aligned with Nvidia’s open-source push, amid a debate that has been building for months, as Washington officials reportedly weighed restrictions on open-weight models. (After Chinese labs like Moonshot AI released systems like its Kimi K3 model that matched leading U.S. models on benchmarks while costing a lot less to run, talk of competitive and national-security concerns appeared to grow in Washington, with some critics of closed labs — like White House advisor David Sacks — suggesting the fears were being fanned by the “duopoly” of Anthropic and OpenAI.)
In an appearance on CBS’s “Face the Nation” earlier this month, for example, Delangue said Hugging Face used an Nvidia-modified version of a Chinese open-source model to defend itself after a cyberattack and pointed to a recent letter — signed by Nvidia CEO Jensen Huang and 24 other companies, including Hugging Face — urging the U.S. government to support open models rather than restrict them. In a separate CNBC interview in late July, Delangue made similar points, citing that same letter while warning that China is “clearly dominating” open-source AI.
The deal would also mark something of a comeback for Nvidia in cloud computing. Nvidia reportedly scaled back its own cloud business, called DGX Cloud, about a year ago. But according to The Information, owning Hugging Face — which already helps developers run their AI models using rented computing power — could give Nvidia a way back into that market without starting from scratch.
There’s also a financial safety net at play. Nvidia has promised to help cover the cost of tens of billions of dollars in cloud computing deals for its customers. If those customers end up not using all the computing power they signed up for, Nvidia could get stuck with it. Owning Hugging Face would give Nvidia the ability to sell that unused capacity to Hugging Face’s customers.
The price marks a huge jump from Hugging Face’s last known value. The company raised $235 million in 2023 in a funding round that valued it at $4.5 billion. That round was led by Salesforce Ventures, with money also coming from Alphabet’s GV, IBM Ventures, and Nvidia itself, among others.
This wouldn’t be Hugging Face’s first brush with an Nvidia offer, either. Hugging Face turned down a $500 million investment offer from Nvidia late last year that would have valued it at $7 billion, the Financial Times previously reported. Hugging Face said at the time it didn’t want a dominant investor that could sway its decisions.
As for why it would say yes now, one could argue that a buyout is different from taking on one giant backer — a scenario that often means ceding control while being pressured to continue growing.
Hugging Face is also still a comparatively small business by revenue in the world of AI. The Information reported it was recently generating about $150 million a year in revenue, up from roughly $100 million just two months earlier.
That growth has enabled the company to get “close to profitability,” as Delangue told TechCrunch last month. Still, a price near $13 billion would be a massive multiple for a company this size and hard to resist.
Not last, the deal would give Hugging Face access to Nvidia’s much deeper pockets just as other, AI infrastructure competitors start to get pulled into other outfits, as suggested by Stripe’s recent deal to acquire OpenRouter, a startup founded in early 2023 that helps customers select different AI models to perform different tasks depending on their needs and budget.
OpenRouter was valued at just $1.3 billion back in May during its Series B round. Stripe reportedly paid more than $7 billion to make it its own earlier this month.
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The Nigeria Democratic Congress, NDC, has announced a new date for the unveiling and inauguration of its National Campaign Council, NCC.
NDC had earlier slated the inauguration of the campaign council for Tuesday, 20th October, 2026.
But a statement by its National Publicity Secretary, Osa Director, disclosed that the event will now be held on Monday, 26th October, 2026.
"The shift is occasioned by the very tight schedule of our Presidential Candidate, His Excellency, Mr. Peter Obi, who has a very important engagement overseas.
"We apologize for any inconvenience caused by this shift and urge everyone not to lose focus on the goal of ensuring victory for our presidential candidate and all NDC candidates in the forthcoming presidential and general elections. A New Nigeria is POssible," the statement said.
By Mariam Hassan, Esther Nwabueze and Olaitan Idris
Traders and consumers on Sunday in Lagos, expressed concern over losses caused by spoilt fruits and vegetables, blaming the problem on heat, poor transportation and inadequate storage facilities.
They spoke in separate interviews with the News Agency of Nigeria (NAN) at Iddo Terminus, Mile 12, Balogun and Agboju markets.
A visit to the markets showed traders displaying fresh produce, including carrots, cucumbers, watermelons, cabbage, bananas and leafy vegetables, while some kept their goods under tables to shield them from sunlight.
Mr Taiwo Abdulhamid, a trader at Iddo Terminus Market, said he sometimes lost two to three kilogrammes of carrots from every 10 kilogrammes purchased.
Abdulhamid said the losses could cost him between N20,000 and N30,000, forcing him to discard spoilt produce or increase prices to recover part of his money.
Similarly, Mrs Mistura Olawale, a banana and pawpaw seller, said she lost about 10 per cent of her goods to spoilage before they reached the market.
Olawale attributed the losses to bad roads, poor transportation and overripe produce, calling for improved feeder roads and refrigerated transit vans.
At Mile 12 Market, Mr Rafiu Olamide, a seller of ugu and waterleaf, said more than 15 per cent of his vegetables sometimes spoilt within one or two days.
Olamide said vegetables worth about N80,000 could result in losses exceeding N10,000, adding that she sometimes sold slightly damaged produce at reduced prices.
Mrs Blessing Sunday, a banana seller at Balogun Market, Eko Idumota, said she sometimes lost bananas worth about N100,000 from a batch.
Sunday, who spends N300,000 or more purchasing bananas in batches, said intense sunlight contributed to spoilage and could take one to two weeks to sell her stock.
She said selling groundnuts alongside bananas helped cushion the losses, adding that she hesitated to complain to suppliers about damaged fruits for fear of losing their patronage.
Mr Shuaibu Tukur, a carrot seller at Carrot Site, Mile 12, said transportation challenges affected the quality of supplies sourced from Ivory Coast, Cameroon, Bauchi, Jos and Sokoto.
He said journeys from Sokoto to Lagos could take about 20 hours under favourable conditions but extend to two days, depending on road conditions.
Mr Aminu Usman, a tomato seller at Mile 12 Market, said overcrowding during transportation caused tomatoes to press against one another and break.
Usman said carefully selected tomatoes sold for about N45,000, while damaged or less visually appealing ones, locally called “Eesha”, sold for about N19,000.
He called for improved transportation and handling practices to reduce breakages and financial losses.
Beyond traders’ losses, consumers said spoilage often forced them to discard food purchased with money they could ill afford to waste.
Mrs Yusuf Halima said she could lose between N15,000 and N25,000 worth of fruits and vegetables monthly, particularly tomatoes and leafy vegetables.
“Sometimes, I buy N5,000 tomatoes hoping they will last me for two weeks if I blend and store them, but if there is no light for two days, my freezer defrosts and everything spoils,” she said.
Halima said she now bought produce in smaller quantities, adding that traders sometimes raised prices to recover losses from damaged goods.
Another consumer, Mr Joshua Edward, said he discarded between 20 and 30 per cent of the fruits and vegetables he purchased weekly.
“If I buy vegetables or fruits for N10,000 weekly, at least N2,000 to N3,000 worth goes to the bin because it wilted, grew mould or started smelling,” he said.
Edward said the experience had reduced his bulk purchases, in spite of additional transportation costs from visiting markets more frequently.
Fruits and vegetables seller in one of the local markets in Lagos
Ms Precious Taiwo, a consumer at Gate 3, Mile 12, said she had lost about N6,000 to spoilt mangoes and bananas, discouraging her from buying fruits as frequently.
Ms Eunice Tosin, a student interviewed at Agboju Market, Festac, said tomatoes and bananas sometimes spoilt shortly after purchase, forcing her to cut off affected portions.
Mrs Onoseme Paulina, a consumer at Iyana Oba, said carrots sometimes deteriorated by the following day, causing losses of about N500 on some occasions.
Paulina expressed concern that some sellers concealed deteriorating carrots beneath fresh ones, adding that she discarded affected produce because of safety concerns.
Mr Eddy Oloye, an engineer and farmer with a personal farm in Lusada, Agbara, said inadequate storage, poor transportation and ineffective preservation methods contributed to post-harvest losses.
Oloye said discarded produce also created environmental nuisance but could be reused as animal feed or processed into other products through effective recycling systems.
He called for government and private-sector support for improved transportation, preservation facilities and training in proper produce handling.
Ms Ebube Agbim, a vegetable seller on Joseph Lambo Street, Costain, said poor packaging and storage contributed to the deterioration of scent leaf, ugu and waterleaf.
Agbim estimated that affected vegetables could be worth about N3,000 daily, although her actual loss was approximately N1,500.
Mr Jubril Useni, a trader at Small Garage, Mile 12, said heat, overcrowded vehicles and prolonged journeys sometimes damaged pepper, green pepper, ground beans and spring onions before they reached the market.
The traders and consumers called for improved transportation, better storage and affordable preservation facilities to reduce waste, protect earnings and make fresh produce last longer. (NAN)(www.nannews.ng)