Amazon plans $7 billion acquisition of AI company Decart

Amazon is reportedly negotiating to acquire AI startup Decart for an estimated valuation of approximately $7 billion. Decart, based in San Francisco, has developed software that allows developers to switch more easily between different AI chips, a capability that is becoming increasingly important as companies compete for greater computing power.

According to sources, the deal could be finalized quickly if negotiations do not fall apart and no other bidders emerge. Decart has raised over $400 million in venture capital from investors such as Sequoia Capital, Benchmark, and Radical Ventures. As of May this year, the company's valuation was close to $4 billion.

Founded in 2023 by brothers Dean Leitersdorf and Orian Leitersdorf, along with Moshe Shalev, Decart is also working on world models named Lucy and Oasis, which can generate and simulate three-dimensional environments of the real world.

Amazon has developed its own custom AI chip, Trainium3, to compete with NVIDIA, which currently dominates the graphics processing unit market. These specialized chips are critical hardware driving the AI boom. The Wall Street Journal previously reported that Amazon Web Services was impressed by Decart's founders after meeting with them in 2025 and offered early access to the Trainium3 chip.

Other major acquisitions by Amazon in recent years include a $6.5 billion purchase of MGM Studios in 2022 and a $11 billion deal for Globalstar, a competitor to Starlink, announced earlier this year.

Reported by cnBeta.