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ASML Invests €1.3bn in French AI Star Mistral, Boosting Europe’s AI Ambitions

Prime Highlights:

  • ASML invests €1.3 billion in French start-up Mistral, becoming its largest shareholder with an 11% stake.
  • The partnership aims to strengthen European technology by combining Mistral’s expertise with ASML’s industrial and engineering capabilities.

Key Facts:

  • Mistral’s total funding round is €1.7 billion, valuing the company at €11.7 billion, more than double its value from last year.
  • Previous investors, including Nvidia, BPifrance, Andreessen Horowitz, General Catalyst, and DST Global, also participated in the funding round.

Key Background:

Dutch chipmaker ASML will invest €1.3 billion in French start-up Mistral. The €1.3 billion investment is part of a €1.7 billion funding round and makes ASML the biggest shareholder in Mistral with an 11% stake.

Mistral’s valuation has soared to €11.7 billion, more than double the €5.8 billion valuation it achieved last year, highlighting the rapid growth of Europe’s AI landscape. Founded less than three years ago, Mistral is emerging as one of Europe’s most valuable private technology companies, positioning itself as a regional rival to US-based AI leaders such as OpenAI.

Arthur Mensch, CEO and co-founder of Mistral, said the partnership merges Mistral’s expertise with ASML’s engineering skills and industry knowledge. He added that the collaboration would strengthen Mistral’s market position and expand its capabilities.

Previous investors such as Nvidia, BPifrance, Andreessen Horowitz, General Catalyst, and DST Global also took part in this funding round. ASML’s Chief Financial Officer, Roger Dassen, will join Mistral’s board, showing how important this partnership is.

ASML, one of Europe’s most valuable public companies, makes equipment needed for semiconductor production. The partnership will help ASML improve its manufacturing and better serve its customers. It is also unusual for ASML, which rarely invests in start-ups.

The deal also supports Europe’s goal of relying less on foreign technology. By working together, the two companies are helping to keep more production and innovation in Europe.

“This long-term partnership will let both companies work on new ideas and solutions, benefiting Europe’s tech industry,” said Christophe Fouquet, ASML President and CEO.

With this investment, Europe is taking another step toward catching up with US technology leaders and building a stronger, self-reliant tech industry.