Amazon in Talks to Acquire Israeli AI Startup Decart for $7 Billion

Amazon is reportedly in advanced negotiations to acquire Decart, an Israeli artificial intelligence infrastructure startup, for approximately $7 billion. The deal, if finalized, would represent a significant valuation for the company, which was founded in 2023 by Israeli entrepreneurs Dean and Uriyan Leiterdorf and Moshe Shilo. Decart's technology enables the running of AI models on chips from various manufacturers, offering a potential solution to reduce reliance on dominant chip providers like Nvidia.

This potential acquisition follows previous interest from other major tech companies. Nvidia had previously explored acquiring Decart, and Anthropic, the developer of the Claude AI model, considered a purchase around $6 billion before withdrawing in September after due diligence. Amazon's offer is higher than the valuation previously discussed with Anthropic, highlighting the growing demand for AI infrastructure companies.

Decart, headquartered in San Francisco, develops software that allows for easier switching between different AI chips, a crucial capability as tech giants compete for computing power and seek to diversify their hardware dependencies. The company's technology could be particularly valuable in optimizing AI model performance and reducing computational costs.

Amazon already has a business relationship with Decart, as Amazon Web Services (AWS) provided the startup with early access to its Trainium3 AI chip in 2025, part of Amazon's effort to create alternatives to Nvidia chips. Acquiring Decart could allow Amazon to integrate its technology with AWS cloud services, enhancing its competitive position in the AI infrastructure market.

Despite the advanced stage of the talks, the deal is not guaranteed. Negotiations could still collapse, or a competing offer might emerge. The Wall Street Journal reported these developments, citing sources familiar with the matter.