Earlier quoted context omitted.
Didn’t we just witness it? Become a critical ecosystem player then get acquired based on the value of that position.
I’m asking more to work out what is the basis of this valuation. Why would Nvidia spend $13B for what seems to be a services that gives things away for free.
Nvidia agrees to acquire Hugging Face for $13B
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Re: Nvidia agrees to acquire Hugging Face for $13B
#82Obviously, NVIDIA is trying to own the AI development chain.
Owning HF -- the discovery and distribution channel -- is one thing, but I think the biggest threat vector is the privileged access to HF platform data, that includes HW survey info and model download pattern. This can be a borderline anti-trust case.
Re: Nvidia agrees to acquire Hugging Face for $13B
#83The open weights AI ecosystem is way too concentrated with HF. That said, it was clear they were going to either get bought or aggressively monetized at some point, Nvidia seems like it could be one of the more aligned acquirers. I do worry about any sort of crowding out or downplaying non Nvidia-relevant quants, and about changing rules to crack down on models or datasets that for one reason or another “don’t align…
There are always torrents, which would seem to be a fine way to distribute models.
Re: Nvidia agrees to acquire Hugging Face for $13B
#84Huggingface sold out. Sad day. All the good companies lose their 'dont do evil' clause as soon as they make bank
You've sold out when you became VC Funded... It's just a matter of how long the free punch lasts.
Re: Nvidia agrees to acquire Hugging Face for $13B
#85They were already pretty vocal about it, but this makes Nvidia pretty much the de facto face of open weight models.
As battle lines get drawn over duopoly vs. open weight it’ll be interesting to see what Nvidia does. They definitely want a piece of more of the stack especially as Huawei chips become more and more of an alternative to cuda.
Re: Nvidia agrees to acquire Hugging Face for $13B
#86Oh jeez
Re: Nvidia agrees to acquire Hugging Face for $13B
#87I'm puzzled by the reactions. This is not a good thing. Yes, they're releasing more open source code and models, but they do it BECAUSE OF pressure from the community and other open source projects. But Nvidia is a terrible open source and consumer company. They gatekeep a lot and oftentimes it's only open source in name. Outside contributions are often slow-walked or rejected if they don't align with business incent…
Linus Torvalds: 'Nvidia has been the single worst company we've ever dealt with' His other comments on Nvidia often contain expletives.
In fairness, most of those comments were made before Nvidia capitulated in the EGLStream war and released open kernel modules.
Re: Nvidia agrees to acquire Hugging Face for $13B
#88Earlier quoted context omitted.
Didn’t we just witness it? Become a critical ecosystem player then get acquired based on the value of that position.
I’m asking more to work out what is the basis of this valuation. Why would Nvidia spend $13B for what seems to be a services that gives things away for free.
Risk management.
Nvidia has a market cap of $5T USD today, and a decent chunk of that is due to LLM speculation.
Does Nvidia want their stock price to be at risk of being tanked by a download service being in the news? No, they want to make sure the party keeps going and is under their direct supervision, and part of that is making sure Hugging Face isn't bought by a competitor or runs out of money.
Re: Nvidia agrees to acquire Hugging Face for $13B
#89I wonder if OpenRouter being acquired was a catalyst for this deal.
Re: Nvidia agrees to acquire Hugging Face for $13B
#90Earlier quoted context omitted.
Didn’t we just witness it? Become a critical ecosystem player then get acquired based on the value of that position.
I’m asking more to work out what is the basis of this valuation. Why would Nvidia spend $13B for what seems to be a services that gives things away for free.
Talking about profit is so passé in the new economic paradigm. The rules have changed— it’s about how much a company is worth. Get with the times.
–Some guys in every bubble I’ve witnessed.