Baseten acquires AI agent sandbox startup Blaxel

AI inference company Baseten has acquired Blaxel, a San Francisco-based startup specializing in secure execution environments, or sandboxes, for AI agents. Blaxel utilizes microVMs to provide isolated virtual machines for each agent, allowing them to spin up, suspend, and resume in as little as 25 milliseconds. This technology is reportedly up to five times faster than competing products and can remain idle for months at near-zero cost.

In addition to sandboxes, Blaxel offers Agent Drive, a distributed filesystem, and a networking layer that connects agents to APIs, MCP servers, and other tools. While Blaxel will continue to operate its existing products, Baseten plans to integrate the technology into its broader infrastructure, including inference, storage, and observability. This acquisition follows Baseten’s previous acquisition of Parsed in late 2025. Baseten, founded in 2019, has raised over $2 billion in funding, with a recent valuation reaching approximately $13 billion.