TL;DR
- Nvidia agreed to buy Hugging Face for $12.9bn, extending its reach from AI chips into one of the largest open-source model and developer ecosystems.
- Moonshot AI is in talks with Microsoft, Amazon and Google to distribute Kimi K3 through their clouds, seeking up to 30% of related revenue.
- Anthropic agreed to spend $45bn renting AI compute from Nscale over 4 years, adding another large long-term commitment to the AI infrastructure buildout.
Will any of AWS, Azure, or Google Cloud integrate Kimi K3 into their services by the end of 2026?
Nvidia agrees to buy Hugging Face for $12.9bn
Nvidia has agreed to acquire Hugging Face for $12.9bn, according to Business Insider. Hugging Face was last valued at $4.5bn in 2023, when Nvidia participated in its funding round.
The deal would push Nvidia further beyond GPUs and into the software and distribution layer of AI. Hugging Face is one of the industry's largest hubs for open-source models, datasets and developer tools.
- Deal value: $12.9bn
- Hugging Face annualized revenue: $150mn
- Last valuation: $4.5bn in 2023
Moonshot talks with U.S. hyperscalers over Kimi K3 revenue sharing
China's Moonshot AI is in early-stage talks with Microsoft, Amazon and Google to offer Kimi K3 through their cloud platforms.
Moonshot is reportedly asking for up to 30% of the revenue generated by Kimi K3 services sold through these platforms. If agreed, it could become the first major revenue-sharing arrangement between a Chinese AI model developer and a leading U.S. cloud provider.
The discussions currently center on:
- revenue sharing;
- access to customer data;
- auditing and verification of token usage.
For Moonshot, cloud distribution would give Kimi K3 a direct route to global enterprise customers without requiring the company to build the underlying infrastructure itself. For the hyperscalers, it would broaden the model selection available on their AI platforms.
The talks remain preliminary and may not result in agreements.
Anthropic commits $45bn to Nscale compute
Anthropic has agreed to spend $45bn renting AI computing capacity from Nscale, in one of the largest compute commitments yet reported by a frontier AI company.
Under the arrangement, Anthropic will secure long-term access to capacity without owning the underlying data centers. Anthropic commits to future demand, while Nscale builds and operates the infrastructure and rents the capacity back to Anthropic.
The deal highlights the growing role of specialized infrastructure providers in the AI buildout. Rather than funding all data-center investment directly, model developers can commit to multi-year compute contracts while infrastructure companies finance and operate the facilities.
The $45bn commitment adds another significant demand signal for the AI infrastructure market and underscores the importance of reliable compute access for frontier model developers.
Source:
- Business Insider — https://www.businessinsider.com/nvidia-in-talks-to-buy-hugging-face-13-billion-dollars-2026-8
- Reuters — https://www.reuters.com/business/retail-consumer/chinas-moonshot-talks-with-microsoft-amazon-google-over-k3-revenue-sharing-2026-08-26
- Reuters — https://www.reuters.com/technology/anthropic-pay-nscale-45-billion-rent-ai-computing-power-bloomberg-news-reports-2026-08-26
