Backed by Nvidia, Mistral AI unveils a high-speed generative AI app as it expands partnerships and positions itself as a European alternative to U.S. and Chinese AI giants.
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| French AI startup Mistral AI launches a new app for its AI assistant, Le Chat, aiming to compete with OpenAI and DeepSeek in the global AI race. Image: ChicHue |
Paris, France — February 6, 2025:
French artificial intelligence startup Mistral AI has launched a new app for its generative AI assistant, Le Chat, as competition in the AI sector heats up. The move comes shortly after Chinese firm DeepSeek unveiled its own AI assistant, further escalating the global race in AI development.
Backed by U.S. chip giant Nvidia, Mistral AI claims that Le Chat is powered by the world's fastest inference engines, capable of generating up to 1,000 words per second. The app's release comes just days before an AI summit in Paris, underscoring Europe's growing ambitions in the sector.
"The French and the whole world are realizing that European players count and that they provide cutting-edge technology," Mistral AI CEO and co-founder Arthur Mensch told Reuters.
Founded two years ago, Paris-based Mistral AI has quickly gained traction, securing a valuation of €5.8 billion ($6.01 billion). However, it remains overshadowed by OpenAI's ChatGPT, which had 200 million weekly active users as of August 2024, compared to Mistral’s “several million” regular users.
Mensch emphasized the importance of a European alternative to dominant American and Chinese AI players, arguing that AI has a cultural dimension that should reflect different regional perspectives.
Mistral AI is actively expanding its footprint through partnerships, having already signed deals with Veolia, a major French water and waste management company, and France’s national jobs agency Mensch hinted at more agreements with European authorities in the pipeline.
Despite these successes, Mistral AI still lags behind U.S. giants, who are set to benefit from President Donald Trump's Stargate project, a significant AI initiative.
With over €1 billion in funding secured, Mensch dismissed speculation about an initial public offering (IPO), stating that it was “not a short-term ambition at all.”
As Mistral AI continues to grow, its latest app release marks a strategic push to compete with industry leaders, offering users an open-source alternative in the rapidly evolving AI landscape.