Mistral AI, the French company behind AI assistant Le Chat and several foundational models, is officially regarded as one of France’s most promising tech startups and is arguably the only European company that could compete with OpenAI. But compared to its $6 billion valuation, its global market share is still relatively low.  However, the recent launch of its chat assistant on mobile app stores was met with some hype, particularly in its home country. “Go and download Le Chat, which is made by Mistral, rather than ChatGPT by OpenAI — or something else,” French president Emmanuel Macron said in a TV interview ahead of the AI Action Summit in Paris. While this wave of attention may be encouraging, Mistral AI still faces challenges in competing with the likes of OpenAI — and in doing so while keeping up with its self-definition as “the world’s greenest and leading independent AI lab.” What is Mistral AI? Mistral AI has raised significant amounts of funding since its creation in 2023 with the ambition to “put frontier AI in the hands of everyone.” While this isn’t a direct jab at OpenAI, the slogan is meant to highlight the company’s advocacy for openness in AI. Its alternative to ChatGPT, chat assistant Le Chat, is now also available on iOS and Android. It reached 1 million downloads in the two weeks following its mobile release, even grabbing France’s top spot for free downloads on the iOS App Store. This comes in addition to Mistral AI’s suite of models, which includes:  Mistral Large 2, the primary large language model replacing Mistral Large. Pixtral Large, unveiled in 2024 as a new addition to the Pixtral family of multimodal models. Mistral Medium 3, released in May 2025 with the promise of providing efficiency without compromising performance, and best for coding and STEM tasks. Devstral, an AI model designed for coding and openly available under an Apache 2.0 license, meaning it can be used commercially without restriction. Codestral, an earlier generative AI model for code, but whose license banned commercial applications. “Les Ministraux,” a family of models optimized for edge devices such as phones. Mistral Saba, focused on Arabic language. In March 2025, the company introduced Mistral OCR, an optical character recognition (OCR) API that can turn any PDF into a text file to make it easier for AI models to ingest. Techcrunch event Join us at TechCrunch Sessions: AI Secure your spot for our leading AI industry event with speakers from OpenAI, Anthropic, and Cohere. For a limited time, tickets are just $292 for an entire day of expert talks, workshops, and potent networking. Exhibit at TechCrunch Sessions: AI Secure your spot at TC Sessions: AI and show 1,200+ decision-makers what you’ve built — without the big spend. Available through May 9 or while tables last. Berkeley, CA | June 5 REGISTER NOW Who are Mistral AI’s founders? Mistral AI’s three founders share a background in AI research at major U.S. tech companies with significant operations in Paris. CEO Arthur Mensch used to work at Google’s DeepMind, while CTO Timothée Lacroix and chief scientist officer Guillaume Lample are former Meta staffers. Co-founding advisers also include Jean-Charles Samuelian-Werve (also a board member) and Charles Gorintin from health insurance startup Alan, as well as former digital minister Cédric O, which caused controversy due to his previous role. Are Mistral AI’s models open source? Not all of them. Mistral AI differentiates its premier models, whose weights are not available for commercial purposes, from its free models, for which it provides weight access under the Apache 2.0 license. Free models include research models such as Mistral NeMo, which was built in collaboration with Nvidia that the startup open-sourced in July 2024. How does Mistral AI make money? While many of Mistral AI’s offerings are free or now have free tiers, Mistral AI plans to drive some revenue from Le Chat’s paid tiers. Introduced in February 2025, Le Chat’s Pro plan is priced at $14.99 a month. On the purely B2B side, Mistral AI monetizes its premier models through APIs with usage-based pricing. Enterprises can also license these models, and the company likely also generates a significant share of its revenue from its strategic partnerships, some of which it highlighted during the Paris AI Summit. Overall, however, Mistral AI’s revenue is reportedly still in the eight-digit range, according to multiple sources. What partnerships has Mistral AI closed? In 2024, Mistral AI entered a deal with Microsoft that included a strategic partnership for distributing its AI models through Microsoft’s Azure platform and a €15 million investment. The U.K.’s Competition and Markets Authority (CMA) swiftly concluded that the deal didn’t qualify for investigation due to its small size. However, it also sparked some criticism in the EU.  In January 2025, Mistral AI signed a deal with press agency Agence France-Presse (AFP) to let Chat query the AFP’s entire text archive dating back to 1983. Mistral AI also secured strategic partnerships with France’s army and job agency, shipping giant CMA, German defense tech startup Helsing, IBM, Orange, and Stellantis. In May 2025, Mistral AI announced it would participate in the creation of an AI Campus in the Paris region, as part of a joint venture with UAE-investment firm MGX, NVIDIA, and France’s state-owned investment bank Bpifrance. How much funding has Mistral AI raised to date? As of February 2025, Mistral AI raised around €1 billion in capital to date, approximately $1.04 billion at the current exchange rate. This includes some debt financing, as well as several equity financing rounds raised in close succession. In June 2023, and before it even released its first models, Mistral AI raised a record $112 million seed round led by Lightspeed Venture Partners. Sources at the time said the seed round — Europe’s largest ever — valued the then-one-month-old startup at $260 million.  Other investors in this seed round included Bpifrance, Eric Schmidt, Exor Ventures, First Minute Capital, Headline, JCDecaux Holding, La Famiglia, LocalGlobe, Motier Ventures, Rodolphe Saadé, Sofina, and Xavier Niel. Only six months later, it closed a Series A of €385 million ($415 million at the time), at a reported valuation of $2 billion. The round was led by Andreessen Horowitz (a16z), with participation from existing backer Lightspeed, as well as BNP Paribas, CMA-CGM, Conviction, Elad Gil, General Catalyst, and Salesforce. The $16.3 million convertible investment that Microsoft made in Mistral AI as part of their partnership announced in February 2024 was presented as a Series A extension, implying an unchanged valuation. In June 2024, Mistral AI then raised €600 million in a mix of equity and debt (around $640 million at the exchange rate at the time). The long-rumored round was led by General Catalyst at a $6 billion valuation, with notable investors, including Cisco, IBM, Nvidia, Samsung Venture Investment Corporation, and others. What could a Mistral AI exit look like? Mistral is “not for sale,” Mensch said in January 2025 at the World Economic Forum in Davos. “Of course, [an IPO is] the plan.”  This makes sense, given how much the startup has raised so far: Even a large sale may not provide high enough multiples for its investors, not to mention sovereignty concerns depending on the acquirer.  However, the only way to definitely squash persistent acquisition rumors is to scale its revenue to levels that could even remotely justify its nearly $6 billion valuation. Either way, stay tuned. This story was originally published on February 28, 2025 and will be regularly updated.

Helsing, start-up allemande spécialisée dans l'intelligence artificielle pour le secteur de la défense, accélère dans la surveillance maritime....

Helsing, Europe’s best-funded defence tech startup, has unveiled its latest product — an autonomous mini-submarine for underwater reconnaissance.  Dubbed SG-1 Fathom, the sub is the latest addition to Europe’s growing fleet of ocean drones, which aim to better protect the continent’s ships and subsea infrastructure from surveillance, sabotage, and attacks.  The 1.95-metre Fathom is designed to slowly patrol the ocean for up to three months at a time. The vessel is powered by an AI platform called Lura. The system is a large acoustic model (LAM) — like a large language model (LLM) but for sound.  Lura is able to classify sounds made by ships and submarines and then pinpoint their locations. Helsing said the algorithm can identify sounds at volumes 10 times quieter than competing AI models. It also works at 40 times the speed of an equivalent human operator. View all speakers Helsing said the “mass-producible” submarines can be deployed in hundreds-strong “constellations” to carry out large-scale surveillance.  Helsing plans to build the autonomous ocean drones in large numbers. Credit: Helsing Ocean reconnaissance of this kind has become increasingly urgent since the 2022 Nord Stream pipeline sabotage, which exposed the vulnerability of underwater assets to covert attacks. European nations NATO are also stepping up their maritime defences amid growing concerns over Russian aggression.  In Ukraine, ocean drones have already become an important tool in its war against Moscow. High-tech arsenal  The war in Ukraine is increasingly characterised by battles between autonomous systems, mainly unmanned aerial vehicles (UAVs). However, the battle between machines is also playing out in the seas.   Earlier this month, Ukraine used its Magura naval drone to shoot down two Russian aircraft. The Magura, armed with missiles, has been used extensively since 2023 to attack and destroy Russian ships and aircraft.  The country is also expanding its fleet of waterborne drones. Last week, Ukrainian company Nordex unveiled the Seawolf, an uncrewed surface vessel (USV) for combat, surveillance, and border security applications.     British company Kraken is developing a similar uncrewed boat that can engage enemies in combat or deliver cargo and personnel. Meanwhile, Denmark is set to trial autonomous sailboats to patrol the Baltic Sea looking for signs of potential threats.    The adoption of drones at sea comes amid rising geopolitical tensions, which have prompted European officials to go all-in on defence tech.  In March 2025, EU leaders endorsed the “ReArm Europe” plan, aiming to mobilise up to £683bn (€800bn) over the next four years to enhance military capabilities. Similarly, the UK government has committed to raising defence spending to 2.5% of GDP and wants to spend at least 10% of its defence budget on “innovative technologies”.  Helsing looks to capitalise on this political momentum. The company told Bloomberg last month that it has “won over a dozen contracts” with “total order volumes of hundreds of millions of dollars” since its founding in 2021.   Helsing, which is valued at €5bn ($5.4bn), is perhaps best known for its combat drones and AI software that acts like the brain for military vehicles such as fighter jets. Fathom marks its first entry into ocean-bound technology.  Several naval forces have already shown interest in Helsing’s autonomous submarine, the company said. It aims to deploy the first fleets of underwater drones within a year.  Defence tech is a key theme of the Assembly, the invite-only policy track of TNW Conference. The event takes place in Amsterdam on June 19 — a week before the NATO Summit arrives in the city. Tickets for TNW Conference are now on sale — use the code TNWXMEDIA2025 at the checkout to get 30% off. Story by Siôn Geschwindt Siôn is a freelance science and technology reporter, specialising in climate and energy. From nuclear fusion breakthroughs to electric vehic (show all) Siôn is a freelance science and technology reporter, specialising in climate and energy. From nuclear fusion breakthroughs to electric vehicles, he's happiest sourcing a scoop, investigating the impact of emerging technologies, and even putting them to the test. He has five years of journalism experience and holds a dual degree in media and environmental science from the University of Cape Town, South Africa. When he's not writing, you can probably find Siôn out hiking, surfing, playing the drums or catering to his moderate caffeine addiction. You can contact him at: sion.geschwindt [at] protonmail [dot] com Get the TNW newsletter Get the most important tech news in your inbox each week. Also tagged with