Doj investigates nvidia's $129.3 billion hugging face acquisition

The U.S. Department of Justice has launched an inquiry into Nvidia's proposed $129.3 billion acquisition of Hugging Face, a leading open-source AI platform. The investigation focuses on how the deal may impact competition in the artificial intelligence sector, with officials examining Nvidia's acquisition strategy, investment activities, and sales practices. The DOJ is particularly concerned about whether the merger would grant Nvidia control over a key distribution hub in AI. The deal, expected to close in early 2027, has also drawn scrutiny over potential antitrust concerns. A separate inquiry into Nvidia's 2025 acquisition of SchedMD, an open-source software used in national security supercomputers, is also underway. Nvidia has pledged to maintain open access to Hugging Face's platform. The DOJ's actions could challenge Nvidia's expansion plans in AI, though the investigation does not necessarily indicate wrongdoing.