Doordash Agrees To Buy Instacart In $17 Billion Deal
The proposed acquisition would expand DoorDash’s grocery reach while preserving Instacart’s app and brand, with closing expected in late 2027 or early 2028.
DoorDash has agreed to acquire Instacart in a deal valued at about $17 billion, bringing two major US delivery businesses under one owner if the transaction closes. The companies’ boards have approved the agreement, according to TechCrunch. The deal would pair DoorDash’s restaurant-delivery business with Instacart’s grocery marketplace and retailer relationships, but it remains subject to regulatory approval and other closing conditions.
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What the companies announced
TechCrunch reports that DoorDash will pay a total value of $65 for each Instacart share. The companies expect the transaction to close toward the end of 2027 or in the first half of 2028, according to TechCrunch and The Verge. Until then, the two businesses will continue operating separately and independently, TechCrunch says.
DoorDash intends to retain Instacart’s brand, app and enterprise technology products after closing, rather than combine the services into one platform, according to The Verge. Engadget describes the transaction as a combination of the two largest US grocery-delivery platforms, while noting that antitrust scrutiny could stand in its way.
How the services could change
DoorDash says the acquisition would give Instacart customers access to more than 50,000 additional stores, The Verge reports. It also says DashPass and Instacart Plus members could pay for one membership instead of two. The Verge reports that DoorDash has committed to letting local grocers work with either service, without platform exclusivity.
For retailers, DoorDash sees an opportunity to combine Instacart’s grocery technology, including tools for online ordering and advertising, with its own delivery network, according to TechCrunch. The company says that could help grocers handle more online orders and offer lower-cost delivery. DoorDash already delivers groceries alongside restaurant orders, so the purchase would expand an existing line of business rather than create a new one.
The Verge says a larger grocery presence could help DoorDash compete with Amazon and Walmart. It also identifies Instacart and Uber among the companies competing with DoorDash in grocery delivery. Earlier discussions about a sale involved Uber, according to the outlets: TechCrunch cites a Bloomberg report that Instacart walked away from talks with Uber, while The Verge says Instacart had recently been in talks with both Uber and DoorDash.
What it means for shoppers doing the work
DoorDash says Instacart shoppers will retain the ability to choose their working hours and which orders to accept after the deal closes, The Verge reports. They would also be able to decide whether to take DoorDash orders or continue shopping only for Instacart. Those are post-close commitments, not changes taking effect now; the transaction still faces a lengthy path to completion.
Sources
This story was compiled by AI from the reports below. Read the originals for the full details.