Nvidia expands AI dominance with AWS deals, $12.9B acquisition

Nvidia boosts supply to $279B, posts record AI revenue, secures major AWS GPU deals, and reportedly plans a $12.9B Hugging Face acquisition, raising neutrality concerns.

Nvidia has ramped up its supply commitments to $279 billion to meet soaring AI demand, securing manufacturing capacity from key suppliers like TSMC, SK Hynix, Samsung, and Micron. In the first quarter of fiscal 2027, Nvidia reported $81.6 billion in revenue, with $75.2 billion generated by its Data Center segment, underscoring strong AI infrastructure sales. Amazon plans to deploy an additional 2 million Nvidia GPUs in 2027 and 2028, supplementing the 1 million already committed. These GPUs, including Blackwell Ultra, Rubin, and Rubin Ultra chips, will power AWS data centers. Amazon will also implement Nvidia’s full physical AI stack for warehouse robotics. Nvidia and AWS have finalized a major agreement involving over a million GPUs, networking hardware, and Groq’s inference-optimized chips to diversify AWS’s AI capabilities. Nvidia is reportedly set to acquire Hugging Face for $12.9 billion to strengthen its AI software ecosystem, though the deal is not yet officially confirmed. This acquisition raises concerns about Hugging Face’s neutrality as an open-source AI platform.