Comment by Grombobulous

This is a tangent to my first comment parent to this one, but also more related to the actual article at hand: whether it's Amazon buying Roomba or Nvidia buying Hugging Face, I have a somewhat radical (or is it?) opinion that large companies like Nvidia, Amazon, Apple, Microsoft, Coca-Cola, etc, should not actually be allowed to acquire companies. At all. under any circumstances, even if competition is healthy.

These companies are generally large enough that they do not need the competitive aid of buying an existing company and starting with that sort of structural advantage.

E.g., did Nvidia not have enough money in their bank to start a company to compete with Hugging Face? This is a company that reportedly has ~200-300 employees with investment rounds totaling $400 million. Nvidia made $31.9 billion in net income last quarter.

I look at a company like Xiaomi which just developed its automotive division in-house without resorting to buying car companies. I think our traditional business and finance mindset has an overreliance on acquisitions.