DOJ reportedly asks how Nvidia’s proposed $12.93 billion Hugging Face deal could affect AI competition

Nvidia announced the acquisition in September, according to CNBC. Nvidia has said it expects the deal to close in the first half of 2027 and that Hugging Face would continue supporting a range of chip, cloud and AI providers, Reuters reported.

The questions come alongside a years-long DOJ examination of Nvidia’s conduct that began under the Biden administration and continued under the Trump administration, Reuters reported. Its sources said recent questioning in that broader inquiry covers acquisitions, investments, sales practices and whether Nvidia pressured customers.

A DOJ spokesperson declined to comment on matters before the department. Nvidia declined to comment, and Hugging Face representatives did not respond to Reuters’ request for comment, Reuters reported. Reuters noted that government investigations are not evidence of wrongdoing and do not necessarily lead to lawsuits. It said the broader examination may not result in any DOJ action.