Amazon in Talks to Acquire AI Startup Decart for $7 Billion
Amazon is reportedly negotiating to acquire artificial intelligence startup Decart in a deal worth approximately $7 billion. According to The Wall Street Journal, the discussions could lead to an agreement soon, although negotiations remain uncertain.
The potential acquisition would strengthen Amazon’s artificial intelligence capabilities, particularly in real-time video generation and simulated environments. Moreover, the deal could expand its presence in emerging AI technologies.
Decart’s AI Technology Attracts Major Interest
Decart develops advanced AI models for video editing, simulation, and interactive digital environments. Notably, its Nvidia-backed Lucy model enables users to modify live video in real time.
Additionally, the startup has developed Oasis, an AI model that generates simulated environments. These environments support the training and testing of robotics and autonomous-driving systems.
Meanwhile, Decart’s valuation has increased significantly amid growing investor interest in generative AI. According to PitchBook data cited by The Wall Street Journal, the company reached a valuation of nearly $4 billion in May.
A potential $7 billion acquisition would therefore represent a substantial increase over that earlier valuation.
Nvidia Investment Supports Decart’s Growth
Decart secured $300 million in a funding round in May, with Radical Ventures leading the investment. Furthermore, Nvidia joined the funding round as a new investor, highlighting growing interest in the startup’s technology.
The investment strengthened Decart’s financial position as demand for advanced AI applications continued to expand.
Meanwhile, Decart previously attracted acquisition interest from Anthropic. In August, Anthropic explored a potential deal valued at approximately $6 billion.
However, Bloomberg News reported that Anthropic abandoned the acquisition effort last month after completing due diligence.
Consequently, Amazon’s reported negotiations represent another significant development in Decart’s potential acquisition journey.
Amazon Acquisition Talks Remain Uncertain
The Wall Street Journal indicated that Amazon and Decart could reach an agreement soon. However, negotiations could still collapse, particularly if another potential buyer enters the process.
Amazon declined to comment outside regular business hours. Meanwhile, Decart did not respond to requests for comment.
Although neither company has confirmed an agreement, the reported negotiations highlight growing interest in specialized AI startups.
Furthermore, Decart’s capabilities in real-time video transformation and simulated environments could complement Amazon’s broader AI ambitions.
Nevertheless, the proposed acquisition remains subject to ongoing discussions, and its final outcome remains uncertain.
