Nvidia Expands Amazon Partnership With 2 Million GPU Deal While Reportedly Nearing $12.9B Hugging Face Acquisition
aiinsider ·
Nvidia and Amazon announced an expanded partnership to deploy an additional 2 million Nvidia GPUs, including Blackwell Ultra, Rubin, and Rubin Ultra chips, across AWS data centers in 2027 and 2028, following an earlier deal for over 1 million GPUs. Nvidia CFO Colette Kress said the company would also supply Vera CPUs and integrate networking hardware, open models, and robotics platforms like Omniverse, Cosmos, Isaac, and Jetson, which AWS will use for warehouse robots. This expansion comes despite Amazon's continued development of its own competing chips, Trainium and Graviton, which recently reached a $25 billion annualized revenue run rate. Nvidia also reported Q2 sales of $96.2 billion, with data center revenue of $89 billion, and committed $279 billion to secure future manufacturing and supply capacity. Separately, The Information reported that Nvidia agreed to acquire Hugging Face for $12.9 billion, though Business Insider noted the talks remain unsigned and could collapse. The reported acquisition would bolster Nvidia's open source AI position as rivals like OpenAI, Google, and Anthropic develop their own chips. Hugging Face CEO Clem Delangue has publicly supported Nvidia's open source advocacy, and the $12.9 billion price is a major jump from the company's $4.5 billion valuation in 2023; Hugging Face had previously rejected a $500 million Nvidia investment over influence concerns.
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