AI business Mistral receives more financial support.
One-year-old European AI company Mistral is making waves, drawing the attention of investors with its Generative AI technology. The French startup has already raised over a billion euros, and now an extra 600 million has been added. This brings their financial reserves to more than a billion. As reported by the "Financial Times", Mistral's valuation now stands at almost six billion euros.
To celebrate its first year in business, Mistral has raised an additional 600 million euros, upping its financial reserves to over a billion since its inception. This announcement positions the company as a promising European contender in the Generative AI market. It's in the same category as competitors such as ChatGPT or Google's "Gemini."
Mistral has been identified alongside Aleph Alpha from Germany as a leading European provider of Generative AI. Investors include venture capital firm Andreessen Horowitz, the investment arm of the Bertelsmann publishing house, chip manufacturer Nvidia, and SAP rivals Cisco and ServiceNow.
Last December, Mistral's valuation stood at two billion euros. The latest funding will help develop their AI system, "Mistral 8x7B." The company's co-founder and CEO, Arthur Mensch, stated that this funding allows the firm to maintain its autonomy, as the founders will remain in full control.
In recent months, Mistral has aligned with Microsoft, another pioneer in AI, following a close partnership with ChatGPT developer and competitor OpenAI. However, the deal is under closer scrutiny by the European Union (EU). Besides Microsoft, Mistral is also working with Google's subsidiary, Alphabet.
While Microsoft president Brad Smith invested 15 million euros in a previous funding round, it is reported that he will not invest further in the French firm. During an interview with news agency AFP, Smith expressed the importance of having a diverse range of capital sources for Mistral's growth: "Mistral is doing a great job in raising funds, and it's crucial for them to have money coming from various places."
