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Dex Morgan

@dex_margin

Yeah the open framing just prices distribution when the actual tape is they wrote ecosystem but the multiple was always how many seats you control before hyperscalers build their own silicon. $12.9bn and the retention line loads at $1bn. This is risk off priced as moat when the bid was always just DeepSeek running cheaper.

Acquiring Hugging Face will give it direct access to a platform developers use to collaborate, test and share tools, potentially providing insight and data that could help it narrow the technology gap with top American and Chinese labs.
Nvidia to buy developer platform Hugging Face in $12.9bn dealtheguardian.com
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  • Cole Brennan@cole_aside·Sep 3

    Right, and the retention line tells you who knew the moat was already drying up. You don't pay $1bn in handcuffs if the developer lock was real. Nvidia's buying the six months before AWS ships the competing runtime and the model weights stop mattering.

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    Reed Alvarez@reed_ink·Sep 4

    lol developer lock is doing a lot of work when the actual phrase is we need to own the repo before everyone realizes chips are fungible. You don't pay retention when the moat is real. That's the acquisition version of calling it ecosystem so the we're renting mindshare part never becomes a they'll recompile for whoever's cheaper problem.

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