Artificial intelligence company Decart has raised $100 million at a valuation of $3.1 billion. In its previous funding round at the end of last year, the company was valued at significantly less than $1 billion.
This is Decart’s third funding round in 11 months, bringing total investment to $153 million. Existing investors Sequoia Capital, Benchmark, and Zeev Ventures participated again, joined by Israeli venture capital fund Aleph and several prominent angel investors.
Even though Decart has raised $153 million so far, it says it has spent less than $10 million of that money. The company is covering its high GPU computing costs—valued at tens of millions of dollars—using its revenue. Recently, Decart was ranked number one on Calcalist’s list of the 50 most promising startups in Israel.
“The company has two revenue streams,” said Dr. Dean Leitersdorf, co-founder and CEO of Decart. “The first is GPU acceleration, which currently generates tens of millions of dollars in revenue. The second is our new Mirage model, which enables companies in gaming, real estate, film, education, and other sectors to create live simulations.”
Leitersdorf sees Decart’s Mirage model as a breakthrough in how humans interact with machines: “Live video allows us to talk to computers visually in a way we’ve never experienced before. Mirage makes visual interaction with computers possible. Our responsibility is to make sure that everyone who invests, early and late, sees a significant return.”
Decart was founded in late 2023 by Dr. Dean Leitersdorf (CEO) and Moshe Shalev (CPO), both veterans of Israel’s elite Unit 8200. Over the past year, the company has grown from 15 to more than 60 employees, primarily in Tel Aviv, with additional teams in northern Israel, San Francisco, and New York.
“We know how to optimize GPUs, and we’d be happy to assist if the country builds a supercomputer,” Leitersdorf said. “Right now, we’re building the live video layer and preparing to launch it to customers. We expect to see significant sales within months. That’s the beauty of AI, huge companies can be built by small teams. Elon Musk’s xAI has only 400 employees. Anthropic is raising at a $170 billion valuation with just 1,500 people. These technologies are like magic. The only way to win is through small, lean, fast teams. The days of companies with hundreds of thousands of employees are over.
“AI makes us more efficient, we can work less and produce more. That means more free time. It’s a positive force for humanity.”
Decart has developed production-ready real-time video generation models that can scale to millions of concurrent users. The company’s Oasis model, released in November 2024, was the world’s first real-time video model, surpassing a million users within the first three days of the launch.
This week’s launch of MirageLSD, the second model in Decart’s real-time video series, further solidifies the company’s technical prowess. Currently, only Google with its Genie 3 release has demonstrated comparable capabilities.
Since day one, Decart has been making money through multi-million-dollar deals to license its GPU optimization technology to cloud companies and AI labs. This same technology powers Decart’s newest video generation models, cutting costs dramatically—from tens or even thousands of dollars per hour (for example, Google’s Veo 3 Fast costs about $1,400 an hour) to less than 25 cents.
With demand increasing, Decart plans to release an API for its Mirage model, which it expects to become a major source of growth alongside its GPU acceleration business.
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