Amazon is discussing a possible purchase of artificial intelligence startup Decart in a deal that could be worth about $7 billion. The talks show how major technology firms are competing to secure advanced AI tools and talent.
The proposed acquisition has not been completed, and the discussions could still end without a deal. A report on Sunday said an agreement could come soon if the talks remain on track and no other buyer steps in.
Amazon did not comment outside its normal business hours. Decart did not respond to requests for comment.
Decart is known for developing AI systems that can edit live video and create digital environments. Its technology could support several areas of AI development, including video production, robotics and autonomous driving.
One of its main products is Lucy, an AI model designed to edit video in real time. The system can make changes to video as it plays, according to information on the company’s website. Nvidia, the leading AI chipmaker, has backed the startup.
Decart has also built Oasis, a model that generates simulated environments. These virtual settings can help developers train and test robots and self-driving systems. They allow researchers to test how machines react to different situations without always needing real-world trials.
The technology may appeal to Amazon as it expands its work in artificial intelligence. The company has invested in AI services through Amazon Web Services, its cloud computing business. AWS offers computing power and tools that other firms use to build and operate AI systems.
A purchase of Decart could give Amazon access to more AI technology and development expertise. It could also support future products that rely on real-time video tools or realistic simulations. However, Amazon has not confirmed its plans for the startup or explained how it might use Decart’s products.
The reported $7 billion price would be higher than Decart’s earlier valuation. The startup was valued at nearly $4 billion in May, based on data cited in the report. A deal at the reported price would mark a significant rise in its value within a few months.
Decart raised $300 million in May in a funding round led by Radical Ventures. Nvidia joined the round as a new investor. The funding gave the startup additional resources to develop its AI models and expand its business.
Amazon is not the only major technology company that has considered buying Decart. Anthropic explored an acquisition in August, when a possible deal was reportedly valued at about $6 billion.
Anthropic later decided not to continue with the purchase after completing due diligence, according to a report published last month. Due diligence involves checking a company’s finances, technology, legal position and business risks before a buyer commits to an acquisition.
The reasons behind Anthropic’s decision were not made clear in the reports. Decart has not publicly explained the outcome of those discussions.
The latest talks with Amazon suggest that other major companies may still see value in Decart’s technology. AI firms are seeking products that can generate video, create realistic virtual settings and help machines learn through simulated experience.
These tools could be useful across many industries. Video editing systems may help content creators change footage more quickly, while simulation models can support research into robots and driverless vehicles. The commercial value of such products will depend on their performance, cost and ability to meet customer needs.
The potential deal also reflects the high prices investors and technology companies are placing on AI businesses. Large firms are spending heavily to gain access to advanced models and specialist teams rather than building every tool themselves.
Still, the reported Amazon Decart acquisition talks remain uncertain. Neither side has confirmed a final agreement, and the reported price and timing could change as negotiations continue.
If the companies reach a deal, the purchase could become a major addition to Amazon’s AI efforts. For now, the outcome depends on whether both sides agree on the terms and whether another potential buyer enters the process.
