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Nvidia agrees to acquire Hugging Face for $13B

businessinsider.com

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Re: Nvidia agrees to acquire Hugging Face for $13B

#391

I really wonder why Nvidia would do this.

Ai companies are making their own chips, Apple unified and other unified ram solutions also a threat

Nvidia is making tons of money by selling GPUs at a very high profit margin. They will do anything to remain dominant

Re: Nvidia agrees to acquire Hugging Face for $13B

#392
post #338

Earlier quoted context omitted.

Very "why would anyone use Dropbox when I can setup a SFTP server" vibes.

Or even “why would I pay for a flight when I can simply walk across the country” It’s all about the convenience, minimising the time and effort from “looks interesting” to “running the model”. Nvidia don’t care if you do it on their cloud, someone else’s cloud, or on your own machine - they win either way, as it further propagates the technology on which they are building their future.

Torrents aren't that scary. If you have the patience for local AI you can figure out qBitTorrent in less than an hour.

Re: Nvidia agrees to acquire Hugging Face for $13B

#394
post #388
post #373

Earlier quoted context omitted.

While nvidia may not want open source drivers, they want open weight models and this acquisition allows them to keep pushing for that. Commoditize your complement.

Nvidia don’t fundamentally care about open weight models They care about their high margin GPUs being the dominant platform, otherwise they would have to reduce the price of their gpu/increase vram amounts. Nvidia are making truck loads of money and want it to continue

They actually do when all their proprietary model customers are also building their own chips.

Re: Nvidia agrees to acquire Hugging Face for $13B

#395

This isn't a good thing for open source. Nvidia don't share CUDA, don't open source their drivers, don't support capable but older hardware (forget Pascal etc), and generally charge a premium over competitors for hardware. This acquisition will likely solidify this general stance, reduce free compute allowance for a subscription, cap downloads, push advertising, generally favour models that are Nvidia prescribed or h…

To play devil's advocate: Hugging Face was probably not profitable, and someone has to pay the bills long-term. Nvidia benefits from Hugging Face and the operating costs are pennies to them. For them it makes sense to acquire HF just to keep it running. HF shutting down or self-destructing in the search of profits would be costlier for Nvidia than just buying it now That said, I share all your concerns. The days of a…

They had incredible revenue growth the last few years and just broke 100M in revenue. I don't know what their internal spend was , but that was almost half of their recent round in ARR. Mostly likely they were profitable or on a clear trajectory to revenue growth. Huggingface hosts a lot of data and models, but mostly static cold storage is pretty cheap tbh.

Re: Nvidia agrees to acquire Hugging Face for $13B

#396

This is the world we live in now. 3-4 megacorps owning everything in every major product category - eyewear, cosmetic, consumer goods, media, tech; you name it.

We live in now?

Has always been this way. Big companies always seek to buy fast growing startups and unfortunately the founders of these startups mostly take the money.

Re: Nvidia agrees to acquire Hugging Face for $13B

#397
post #323

Forgive me for newb question, but why Hugging Face is a thing at all? Couldn't models be simply distributed via torrents? And the whole aggregator thing would come down to indexing magent links published by model providers?

Why don't we use message boards instead of Google? Couldn't websites be distributed via direct DNS requests instead of Google serving links?

Re: Nvidia agrees to acquire Hugging Face for $13B

#398

This isn't a good thing for open source. Nvidia don't share CUDA, don't open source their drivers, don't support capable but older hardware (forget Pascal etc), and generally charge a premium over competitors for hardware. This acquisition will likely solidify this general stance, reduce free compute allowance for a subscription, cap downloads, push advertising, generally favour models that are Nvidia prescribed or h…

+1 on @SillyUsername. Combined with recent acquisition of OpenRouter we see exactly what we were increasingly concerned about: tightening (chocking?) of Open Weights locally-run models. The sequence and timing of these events make the intent very clear.

Now the Open-Models crowd will try to move to some other place. But fragmentation will weaken the position. Yes, there is Civic, there are purely Chinese websites ... for those who speaks Mandarin. Which only reinforces the point.

Re: Nvidia agrees to acquire Hugging Face for $13B

#399

Earlier quoted context omitted.

Counter point is China can afford to keep pumping out free models for long enough to crash the AI industry, As well as spin up memory production. Its likely in the near future we will be able to buy 128gb mac minis and run local AI for free.

Why would China want to crash the AI industry? Their goal is not to damage the United States, necessarily. Their goal is to have the best domestic AI on the planet. They intend to do that through the way that they dominate every other industry: good enough quality at a much greater scale.

Surely crashing the Ai industry (in terms of reducing commercial revenue) makes it harder for the leaders to keep raising money and so keep investing in r&d to the same levels. Thus allowing competitors without access to latest American hardware to keep up.

Re: Nvidia agrees to acquire Hugging Face for $13B

#400
post #323

Forgive me for newb question, but why Hugging Face is a thing at all? Couldn't models be simply distributed via torrents? And the whole aggregator thing would come down to indexing magent links published by model providers?

Then someone would still create a website with an index of all the open models. Where people discuss & rank the models, show related models, ...

And now you've recreated most of HF

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