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1.	Nvidia Announces New Customers For Vera CPU, Groq LPX Racks By Phoebe Liu Source: The Information

SpaceX and AI cloud company Nebius are set to be early customers of Nvidia’s Vera central processing units and fast inference-focused Groq LPX racks, two key items intended to expand on Nvidia’s main, graphics processing unit-based products, according to Nvidia.

Analysts and investors have wondered since Nvidia announced the new products how widely they’ll be adopted. Nvidia said on Monday that Nebius plans to use the Groq LPX racks, which include IP from Nvidia’s $20 billion licensing deal with chip design startup Groq in December, in conjunction with its Vera Rubin GPU-based racks to speed up AI model use in specific applications. It’s set to be the first AI cloud to do so, Nvidia said. SpaceX plans to use Vera CPU racks, which can contain up to 256 Vera CPUs and are meant for longer-running agentic AI.

Nvidia declined to share additional details on timing, pricing and scale of the customer purchases.

Nvidia unveiled both server racks at its annual developer conference in March alongside its flagship Vera Rubin rack, which contains both Rubin GPUs and Vera CPUs, plus storage and networking racks. Customers started receiving test versions of the Vera Rubin racks earlier this summer (and some have been notified of price increases for such racks that are set to ship next year). Nvidia has shared much less information about the CPU and LPX racks since March, with some server makers saying earlier this month that they hadn’t yet received pricing information or purchase orders.

2.	Exclusive: Hugging Face Annualized Revenue Jumps 50% to $150 Million By Laura Bratton and Stephanie Palazzolo Source: The Information

AI startup Hugging Face, known for its repository of open-source models, is generating more than $150 million in annualized revenue, a 50% increase from two months ago, according to a person with direct knowledge of the matter.

The decade-old startup is nearing a deal to sell itself, according to a second person. A deal could value it close to $13 billion, Business Insider said. That would be a significant jump from the startup’s last big funding round in 2023, which valued it at $4.5 billion. A $13 billion price would represent a steep multiple to its revenue even compared to recent AI acquisitions, such as Stripe’s $7.5 billion purchase of OpenRouter.

Hugging Face’s revenue jump came amid rising demand for open source models and Hugging Face’s compute and storage offerings, in which the company rents out access to infrastructure to train and run AI models as well as build AI apps. (Annualized revenue refers to the latest month’s revenue multiplied by 12.) Hugging Face also charges customers to store information tied to training those AI models and building apps.

Customers access those products by paying flat-fee monthly subscriptions and added fees tied to the amount of computing power they use and data they store. In June, co-founder and CEO Clem Delangue told The Information that the startup had doubled its number of paying subscribers in the first half of 2026. Delangue said on a recent podcast appearance that the company is “close to profitability.”

3.	Shein Expects IPO Valuation of $26 Billion By Martin Peers Source: The Information

Fast fashion company Shein expects to go public at a valuation of around $26 billion, the company said in a filing with the Hong Kong Stock Exchange. That would be a sharp decline from the $80 billion to $90 billion valuation it was hoping for three years ago.

That decline reflects how Shein has been buffeted by the end of the ‘de minimis’ rule in the U.S., which allowed Americans to buy items without paying an import duty. Sales growth slowed to 1.1% in the first quarter, while its US business shrank 14% and the company lost money.

Shein expects to start the IPO sale today and hopes to finalize the listing price by next Monday, allowing shares to start trading on Sept. 1. Shein is looking to sell shares  hares by Thursday, it said in the filing.

4.	Alabama Starts Probe Into OpenAI Over Hugging Face Hack By Jason Dean Source: The Information

Alabama Attorney General Steve Marshall launched an investigation into OpenAI’s practices related to its AI models’ recent cyberattack against Hugging Face.

The investigation is examining whether OpenAI’s “inability or unwillingness to ensure the safety of its products” violates the state’s consumer-protection laws and poses an ongoing risk of substantial harm to its citizens, Marshall’s office said in a statement Monday.

OpenAI has said that a combination of its models broke out of an internal testing environment and attacked Hugging Face, an AI model repository company. OpenAI has called the July episode an “unprecedented cyber incident,” and said it is changing aspects of its model development as a result. It also has said that it is conducting a thorough review of the Hugging Face incident with external advisers and will publish its findings.

Marshall was one of 15 state attorneys general to issue a joint letter to OpenAI in early August asking the company to preserve potentially relevant documents and data and to halt evaluations that prompt its models “to pursue advanced exploitation using complex attack paths.”

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