Amazon Explores Seven Billion Dollar Purchase of Artificial Intelligence Startup Decart

2026-10-12 companies

Seattle, Monday, 12 October 2026.
Amazon is negotiating a $7 billion purchase of AI startup Decart to boost its custom chips, following Anthropic’s abandoned acquisition offer last month.

Acquisition Negotiations Underway

Amazon.com Inc. (NASDAQ: AMZN) is currently in active negotiations to acquire Decart, an artificial intelligence startup, in a transaction valued at approximately $7 billion [1][5]. Reports emerging on October 11, 2026, indicate that the deal could be finalized soon, though discussions remain subject to failure and regulatory approval [4][7]. While some reports describe Decart as a San Francisco-based entity, multiple sources identify it as an Israeli startup founded in 2023 [1][2]. The potential acquisition represents one of Amazon’s largest strategic technology investments in recent years, signaling a significant commitment to generative AI infrastructure [5][8].

Strategic Infrastructure and Competition

The primary driver for this acquisition is Decart’s software capability, which allows developers to switch efficiently between different AI chips, including Nvidia GPUs, Google TPUs, and Amazon’s own Trainium processors [2][8]. This technology aligns with Amazon’s strategy to reduce reliance on Nvidia hardware and bolster its custom chip ecosystem, particularly following early access granted to Decart for the Trainium3 chip in 2025 [5][6]. The move follows a collapsed acquisition attempt by Anthropic in September 2026, where the chatbot maker abandoned a proposed $6 billion deal after completing due diligence [4][7]. Decart’s product portfolio includes the Lucy model for real-time video editing and the Oasis simulation model for robotics, both of which Amazon aims to integrate into its cloud platform [2][8].

Market Valuation and Reaction

Financial markets responded positively to the news, with Amazon stock closing at $262.43 on October 9, 2026, reflecting a 3.29% increase [6]. The reported $7 billion valuation marks a substantial increase from Decart’s previous valuation of approximately $4 billion in May 2026, representing a 75 percent increase in just five months [2][6]. This growth underscores the high enterprise valuations currently commanded by cutting-edge AI software and hardware optimization technologies [1]. Investors are monitoring the final transaction price and the integration of Decart’s technology to boost AWS Trainium adoption as key indicators of future performance [6][8].

Sources

Artificial Intelligence Mergers and Acquisitions