Amazon Eyes $7 Billion Acquisition of AI Startup Decart to Challenge Nvidia Dominance
13 Sources
[1]
Amazon in talks to buy AI chip software startup Decart for about $7bn
Anthropic walked away from a $6bn deal for the startup in September. Decart, founded in 2023, was valued at nearly $4bn in May and already runs its own models on Amazon's Trainium chips. Amazon is in talks to buy the AI startup Decart in a deal that could value it at about $7bn, The Wall Street
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Why Amazon might pay billions for Decart, a 3-year-old AI startup that hasn't disclosed its revenue
A deal for Decart, a startup that makes software to help AI models run faster on different kinds of chips, would give Amazon new ways of getting more AI developers to use its custom chips instead of Nvidia hardware. The Wall Street Journal reported Sunday that the companies are in talks for an
[3]
Amazon in talks to acquire AI startup Decart for $7 billion
The San Francisco startup, last valued at nearly $4 billion in May, makes software that helps developers switch between different AI chips Amazon $AMZN is in negotiations to buy AI startup Decart in a transaction that could be worth approximately $7 billion, according to The Wall Street Journal.
[4]
Report: Amazon in talks with AI startup Decart over possible $7B acquisition
Report: Amazon in talks with AI startup Decart over possible $7B acquisition Amazon.com Inc. is reportedly engaged in discussion over the potential acquisition of artificial intelligence developer Decart.ai Inc. in a deal that could be worth up to $7 billion. Decart has developed software that
[5]
Amazon is reportedly eyeing major acquisition
Amazon is reportedly in talks to purchase the artificial intelligence startup Decart in a $7 billion deal -- which would be one of Amazon's biggest recent acquisitions and one of the largest exits in Israeli tech. The Wall Street Journal reported Sunday that the Seattle tech titan is putting
[6]
Amazon in talks to buy AI startup Decart for around $7 billion: Report
Amazon is reportedly in discussions to acquire Decart, a startup specializing in artificial intelligence, for around $7 billion. Decart's Lucy model offers real-time video editing, while its Oasis model simulates environments for robotics and autonomous systems. Previously, Decart was valued at
[7]
Amazon Reportedly in Talks to Buy AI Startup Decart for $7 Billion - Amazon.com (NASDAQ:AMZN)
Amazon Reportedly in Talks to Buy Decart for $7 Billion -- Market Strategist Says It Is 'Effectively Buying Software Expertise' Amazon.com, Inc. (NASDAQ:AMZN) is reportedly weighing a roughly $7 billion purchase of Decart, an artificial intelligence startup whose software helps developers switch
[8]
Amazon in talks to acquire Israeli startup, AI model that can edit live videos in real-time
Amazon is in talks to acquire the Israeli AI startup, Decart, in a deal valued at around $7 billion, the Wall Street Journal reported on Sunday, citing people familiar with the matter. Decart's Lucy model, backed by Nvidia, can edit live video in real time, according to the company's website. It
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Amazon Weighs $7 Billion Purchase of AI Startup Decart | PYMNTS.com
That's according to a report Sunday (Oct. 11) by The Wall Street Journal (WSJ), citing sources familiar with the matter. Those sources say a deal could come together soon, provided the talks don't collapse and another contender doesn't make an offer. PYMNTS has contacted Amazon for comment but has
[10]
Report: Amazon in advanced talks to acquire Israeli startup Decart for $7b.
Tech giant Amazon is conducting negotiations to acquire Israeli artificial intelligence startup Decart for approximately $7 billion, The Wall Street Journal reported, citing sources familiar with the details. According to the report, negotiations between the parties are advanced and the deal could
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Amazon's USD 7 Billion Decart Bid Could Change How AI Models Use Chips
Amazon is reportedly in talks to buy AI startup Decart for around USD 7 billion. The deal could help AWS run AI models more efficiently on its chips. Amazon is reportedly in talks to buy AI startup Decart for around USD 7 billion. The deal could help Amazon Web Services (AWS) run AI models more
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Amazon in talks to acquire AI startup Decart for $7 bln- WSJ By Investing.com
Investing.com-- Amazon.com Inc (NASDAQ:AMZN) is in talks to acquire artificial intelligence startup Decart in deal that could be valued around $7 billion, the Wall Street Journal reported on Sunday, citing people familiar with the matter. The company develops software that makes it easy for
[13]
Amazon is reportedly discussing the acquisition of Decart, according to WSJ
Amazon has reportedly entered talks to acquire Decart, a San Francisco-based startup specializing in artificial intelligence, according to an article published by the Wall Street Journal (WSJ) over the weekend, citing a source familiar with the matter. According to the WSJ, which cites a valuation
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Amazon is negotiating a $7 billion deal to acquire Decart, an AI startup specializing in chip-agnostic software. Founded in 2023 and valued at nearly $4 billion in May, Decart's technology helps developers switch between AI chips seamlessly. The acquisition would strengthen Amazon's Trainium chips and reduce dependence on Nvidia.
Amazon Pursues Strategic AI Chip Software Acquisition
Amazon is in talks to acquire Decart in a deal that could value the AI startup at approximately $7 billion, according to
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. The transaction could finalize soon unless negotiations collapse or another buyer emerges. This Amazon Decart acquisition would rank among the company's largest recent deals, trailing only its $13.7 billion Whole Foods purchase in 2017 and $11.57 billion Globalstar agreement announced earlier this year2
.Decart, founded in 2023 by Israeli engineers Dean and Orian Leitersdorf alongside Moshe Shalev, has raised over $400 million from investors including Sequoia Capital, Benchmark, and Radical Ventures
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. The San Francisco-based company was most recently valued at nearly $4 billion during its $300 million funding round in May, with Nvidia joining as a new investor1
. At the reported price, this would represent one of the largest exits in Israeli tech history1
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Source: SiliconANGLE
Breaking Nvidia's Grip on AI Infrastructure
Decart's core offering is DOS, a software layer that enables developers to move AI workloads between different chips with significantly reduced engineering effort
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. This capability addresses a critical pain point in AI infrastructure: Nvidia dominates the market largely because of CUDA, software that developers have relied on for years to build and run AI models2
. Moving workloads to alternative chips typically requires substantial additional engineering work.With Decart DOS, the neural network optimization process that once took months can be compressed into just a couple of weeks
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. This allows companies to shift AI workloads to different processors when requirements change or chip availability becomes constrained. For Amazon Web Services, owning this technology would make Trainium chips an easier sell to customers whose AI models were originally built for Nvidia hardware2
.Proven Performance on Amazon's Custom AI Chips
Decart already maintains strong ties with Amazon Web Services. AWS offered the startup early access to Trainium chips last year after meeting with its founders
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. At the AWS re:Invent conference in December 2025, Decart's video model ran live on Trainium3, demonstrating the chip's capabilities in a high-profile keynote presentation2
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Source: GeekWire
Amazon reported that Decart achieved "4x faster frame generation at half the cost of GPUs" when running on Trainium3
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. This performance improvement validates Amazon's strategy of building custom AI chips to compete with Nvidia. The acquisition would bring the engineering team behind these optimizations in-house, potentially accelerating development of future Trainium generations.World Models and Real-Time Video Capabilities
Beyond AI chip software, Decart develops its own world models that could integrate across Amazon's business portfolio. Lucy performs real-time video editing, transforming live video feeds to show people wearing different clothing or accessories
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. This technology already powers features on Twitch, which Amazon owns, and could enable online shoppers to visualize how clothes look on them2
.Oasis generates interactive 3D environment generation for robotics training and autonomous vehicle development
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. These synthetic environments provide critical testing grounds for physical AI systems without real-world risks. The company's customers include eBay, which is also an investor2
.Previous Acquisition Attempts Signal Market Value
Amazon isn't the first major player to pursue this AI startup. Anthropic was in talks to acquire Decart for approximately $6 billion in August, which would have been Anthropic's largest acquisition
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. However, Anthropic walked away in September after conducting due diligence1
.Sources close to Decart reported that founders refused Anthropic's demand to relocate much of the team from Tel Aviv to San Francisco
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. Before Anthropic, Nvidia held acquisition discussions with Decart, though the startup's founders turned down a higher offer from the chip giant before accepting their May funding round1
. Nvidia's continued interest materialized through its participation as an investor in that $300 million round.Related Stories
Broader Industry Push Away from Nvidia Dependence
The potential Amazon Decart acquisition reflects a wider industry movement to reduce reliance on Nvidia. Microsoft announced Monday that its Maia 300 chip, the third generation of its custom AI chips, will power AI services in its own products starting in 2027
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. Google operates its TPU chips for cloud computing workloads, while OpenAI has developed processors with Broadcom2
.Meanwhile, Nvidia continues its own acquisition strategy. The Financial Times reported that Nvidia is in talks to buy or increase investment in Reflection AI
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. This parallel maneuvering underscores how critical AI model performance and infrastructure flexibility have become as companies race to secure computing power.Questions Remain About Post-Acquisition Strategy
One critical uncertainty is whether Decart's software would continue supporting Nvidia and Google chips under Amazon ownership
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. Maintaining chip-agnostic capabilities could preserve Decart's customer base and market position, while restricting the technology to Trainium would maximize Amazon's competitive advantage but potentially alienate existing clients.
Source: PYMNTS
Decart has not disclosed its revenue, though reports indicate the company has been profitable almost from its inception
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. Business publication CTech noted that Decart's current business remains far smaller than the $7 billion valuation being discussed2
, suggesting Amazon is betting heavily on future potential rather than current revenue streams. Watch for how Amazon positions this acquisition relative to its broader AI strategy and whether it maintains Decart's multi-chip support or pivots exclusively to Trainium optimization.References
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