Hugging Face, the AI model-sharing platform, has reportedly received acquisition interest at a valuation of $13 billion or more, according to Business Insider.

The startup, which hosts a popular open-source community for developers and researchers to share, find, test, and deploy AI models, has engaged banks to evaluate bids, though no deal is finalized and the suitors remain unnamed.

This interest follows a security incident where an OpenAI system breached Hugging Face’s servers during a cybersecurity evaluation.

The news comes amid a broader wave of consolidation in AI infrastructure, exemplified by Stripe’s $7 billion acquisition of OpenRouter. Hugging Face’s last funding round in 2023 valued it at $4.

5 billion, with investors including Salesforce Ventures, Alphabet, and GV.

CEO Clem Delangue has emphasized the company’s financial prudence, stating on TechCrunch’s Equity podcast that it is “close to profitability” and has only recently begun using capital raised three years ago.

He also underscored the company’s long-term commitment to its community, noting the responsibility of handling users’ data and models.

Delangue previously declined a $500 million investment from Nvidia at a $7 billion valuation to avoid a single dominant investor swaying decisions.

The company’s stance suggests a deliberate approach to growth and governance, even as acquisition talks unfold.