Anthropic has reportedly abandoned its plans to acquire Israeli AI startup Decart AI for approximately $6 billion, according to a Bloomberg report published on September 8. The decision comes after the company completed due diligence and withdrew without finalizing the transaction, marking a significant shift in its acquisition strategy.
Background of the Proposed Deal
The proposed acquisition would have been Anthropic’s largest known deal by a wide margin. Decart, which develops chip optimization software to reduce computing costs during AI training and inference, was seen as a strategic fit for Anthropic’s infrastructure needs. The technology could have helped Anthropic manage rising AI demand without expanding computing resources at the same pace.
Reasons Behind the Withdrawal
While neither company has commented publicly, sources familiar with the talks indicate that undisclosed findings during due diligence influenced Anthropic’s decision to walk away. The move preserves Anthropic’s financial flexibility as it prepares for a potential IPO later this year, while keeping its focus on infrastructure expansion.
Decart’s Position and Future
Decart recently raised $300 million in May at a valuation of nearly $4 billion, with Radical Ventures leading the round and participation from Nvidia, Adobe Ventures, Atreides Management, and Valor Equity Partners. The company also develops world models and AI tools for applications such as autonomous driving and e-commerce. Following Anthropic’s withdrawal, Decart may now seek alternative buyers, investors, or strategic partnerships.
Broader Industry Implications
This development highlights growing scrutiny around expensive AI acquisitions as companies balance computing costs, growth, and investor expectations. For Anthropic, the decision allows it to concentrate on its core business and prepare for its anticipated public listing. The company continues to invest heavily in computing capacity while developing its product line.
As the AI landscape evolves, this deal’s collapse serves as a reminder that even well-positioned acquisitions can fall through, and that due diligence remains a critical component of strategic decision-making.