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Nvidia's $12.9 billion Hugging Face deal draws DOJ scrutiny

CNBC October 28, 2026 13 views

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Nvidia is currently under investigation by the U.S. Department of Justice (DOJ) over its $12.9 billion acquisition of Hugging Face, a leading AI model platform known for its open‑source library of machine‑learning tools.

The chipmaker announced the deal earlier this year, adding Hugging Face’s extensive collection of pre‑trained models to its growing portfolio of artificial‑intelligence products.

Under the DOJ’s review, the agency is examining whether the transaction could raise antitrust concerns by potentially consolidating too much market power in the AI sector.

Hugging Face, headquartered in New York, has become a central hub for developers building and sharing AI models, and its integration with Nvidia’s hardware and software ecosystem is seen as a strategic move to accelerate AI adoption.

So far, Nvidia has not issued a statement regarding the inquiry, and the outcome of the investigation remains uncertain.

<small>Source: CNBC — read the original story there.</small>

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