French artificial intelligence startup, Mistral AI, is reportedly close to securing a €2 billion investment that would value the company at $14 billion, according to Bloomberg. The two-year-old firm, founded by former DeepMind and Meta researchers, has quickly positioned itself as one of Europe’s most valuable tech startups. Known for its open-source language models and Le Chat, an AI chatbot designed for European users, Mistral is widely viewed as a challenger to U.S.-based OpenAI.
The reported round would mark Mistral’s first major fundraising since June 2024, when it was valued at €5.8 billion. The company has already attracted more than €1 billion in backing from high-profile investors, including Andreessen Horowitz and General Catalyst. If finalized, the new investment would represent one of the largest ever financings for a European AI firm, underscoring growing global interest in the continent’s tech ecosystem.
Mistral’s rise comes amid a surge of investor appetite for European AI startups. Data from Dealroom shows that funding into the sector jumped 55% year-on-year in the first quarter of 2025, signaling a shift in momentum toward Europe. In the same period, 12 European startups crossed the billion-dollar valuation threshold, achieving unicorn status at record speed.
Among the standout performers is Sweden’s Lovable, an AI-driven coding platform that reached a $1.8 billion valuation in July, just eight months after launching. The success of companies like Mistral and Lovable highlights Europe’s accelerating role in the global AI race, where investors and policymakers alike are seeking to build regional champions capable of competing with U.S. and Chinese rival