Amazon is reportedly in talks to acquire artificial intelligence startup Decart in a deal valued at around $7 billion, according to a report published by The Wall Street Journal on 11 October 2026. 

The proposed acquisition would strengthen Amazon’s AI capabilities as major technology companies compete to secure computing power and develop more efficient infrastructure for AI services. The deal has not been finalised, and the discussions could still fall through.

San Francisco-based Decart develops software that allows developers to switch between different AI chips. 

This technology could help companies use available computing resources more efficiently instead of depending on a single chip supplier. As demand for AI computing continues to grow, managing hardware capacity and costs has become an important challenge for cloud service providers and AI developers.

Amazon has been investing heavily in artificial intelligence through Amazon Web Services (AWS), its cloud computing division, and its own AI chip development programme. Its Trainium chips are designed to compete with processors from Nvidia, which remains a major supplier of hardware used to train and run AI models.

AWS gave Decart early access to its Trainium3 chip in 2025. Acquiring the startup could help Amazon combine Decart’s chip-management software with its own computing infrastructure, potentially improving flexibility for customers running AI workloads. It could also strengthen AWS’s position in the market for AI computing services.

Decart is also developing AI systems known as world models, including Lucy and Oasis. These technologies can generate or simulate three-dimensional environments and could support applications involving interactive digital worlds, robotics and other AI-driven simulations.

Founded in 2023 by Israeli engineers Dean and Orian Leitersdorf and Moshe Shalev, Decart has attracted more than $400 million in venture funding from investors including Sequoia Capital, Benchmark and Radical Ventures. 

The company was valued at nearly $4 billion in May 2026, making the reported $7 billion acquisition price a significant potential increase over its previous valuation.

If completed, the acquisition would underline Amazon’s commitment to expanding its AI infrastructure and reducing reliance on external hardware solutions. However, the final terms, completion timeline and financial impact remain uncertain while negotiations continue.

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