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Amazon emerges as potential buyer of Israeli AI startup Decart at $7 billion
CTech • • business
Key Points:
- Amazon is reportedly in talks to acquire Israeli AI startup Decart for around $7 billion, potentially signing the deal soon, though negotiations could still fall through.
- Decart, founded in 2023, develops technology that improves AI model efficiency and enables switching between different AI chips, addressing high infrastructure costs and Nvidia's dominance in AI hardware.
- Amazon and Decart already have a business relationship, with AWS as a strategic customer, and Decart having early access to Amazon’s upcoming Trainium3 AI chip.
- The acquisition would bolster Amazon's AI infrastructure efforts by integrating Decart’s chip-agnostic software, enhancing the competitiveness of its cloud platform against Nvidia-centric solutions.
- The $7 billion valuation significantly exceeds Decart’s previous $4 billion valuation from a May funding round, highlighting strong interest despite a collapsed prior deal with Anthropic.
