{
  "id": 4310867,
  "title": "Nvidia May Be Paying 86 Times Sales for Hugging Face And It Might Actually Make Sense: Here’s Why",
  "url": "https://urgent.news/2026/08/28/nvidia-may-be-paying-86-times-sales-for-hugging-face-and-it-might",
  "topic": "ai",
  "section": "AI",
  "published": "2026-08-28T18:15:06.000Z",
  "source": {
    "name": "Yahoo Finance",
    "slug": "yahoo-finance",
    "url": "https://finance.yahoo.com/markets/stocks/articles/nvidia-may-paying-86-times-181506668.html"
  },
  "original_language": "en",
  "account": "Nvidia may be set to pay $12.9 billion for Hugging Face, a company generating around $150 million in annualized revenue. This deal, reported by Reuters on August 27, has a valuation of roughly 86 times sales. Prior to this, the companies had not officially announced the deal, with Business Insider stating that discussions had not resulted in a signed agreement. Hugging Face's platform allows developers to use various hardware, and it reportedly rejected an earlier $500 million investment from Nvidia due to a desire for a neutral investor. The decision to purchase Hugging Face could be driven by Nvidia's interest in influencing the development process from models to compute hardware. Nvidia has substantial financial resources, including $22.4 billion in cash and $34.1 billion in marketable debt securities, with $21.3 billion in free cash flow in Q2. However, the success of this deal depends on maintaining Hugging Face's neutral position among hardware providers, model developers, and enterprise users.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}