This is like if the local pool owner wanted to sell the property, and nobody in the neighborhood made a competing bid. HuggingFace isn't a publicly-owned resource.
What we should be seeing is competing businesses trying to undercut Nvidia/HF and offer a better experience. China has alternatives to HF; it's just that in the US, Nvidia is the only business that can get off their ass to sponsor infrastructure like that. America's poor underdogs like Intel and Apple simply can't be expected to make investments into real competition anymore. Nor can our startups be expected to find market traction when incumbents like HF are so deeply ingrained in the ecosystem.
Fact is, the pool was already crap. The rest of the industry had close to a decade to formulate any type of response, and America's vanguard took that time to rest on their laurels and formally forfeit to Team Green. Nvidia's played the "Luigi Wins By Doing Absolutely Nothing" card for the entire datacenter market: https://youtu.be/m6PxRwgjzZw
As a silver lining, it seems like we're hitting a huge compute limit everywhere we go due to TSMC's reluctance to scale. If demand for intelligence continues to stay high, an opportunity opens up to challenge Nvidia and Nvidia run kernels/models.