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00:02Amazon is reportedly in talks to acquire artificial intelligence startup Descartes
00:06in a deal valued at around $7 billion, according to the Wall Street Journal.
00:10The San Francisco-based company develops software that allows developers to switch
00:14between different AI chips as companies compete for computing power.
00:18Descartes has raised more than $400 million from investors including Sequoia Capital and Benchmark.
00:23The startup was valued at nearly $4 billion in May.
00:26Founded in 2023 by three Israeli engineers, Descartes is also developing AI world models
00:32that generate three-dimensional environments.
00:34Amazon has developed its own Tranium 3 AI chip to compete with NVIDIA.
00:38Amazon Web Services gave Descartes early access to the chip in 2025.
00:42A deal could be reached soon, although talks could still fall apart.
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