AI Startup Cohere Talks to Raise Funding at $6 Billion Plus Valuation: Sources
Artificial intelligence (AI) startup Cohere is in talks with investors to raise funding at a valuation of more than $6 billion, according to two sources familiar with the matter. The company has been in discussions for several weeks and is expected to close the deal soon, said one of the sources.
Cohere was founded by former Google executive Andrew Moore and his wife, computer scientist Maryam Zaringhalam. It focuses on developing AI technology that can help businesses make better decisions faster. The company’s technology uses machine learning algorithms to analyze data from multiple sources and provide insights into customer behavior or market trends.
The startup has raised over $50 million since its launch in 2018, including investments from venture capital firms such as Andreessen Horowitz and Greylock Partners. It also counts Microsoft co-founder Bill Gates among its backers.
The potential new round of funding would be a major milestone for Cohere as it looks to expand its operations globally and develop new products for customers around the world. According to one source, the company plans to use some of the money raised from this round of financing for research and development efforts related to AI technologies such as natural language processing (NLP), computer vision, robotics process automation (RPA), deep learning models, reinforcement learning systems, autonomous vehicles, drones etc..
If successful in raising funds at this level , Cohere will join an elite group of tech startups valued above $5 billion – including Uber Technologies Inc., Airbnb Inc., Palantir Technologies Inc., Stripe Inc., SpaceX etc.. This would also mark a significant increase from its last reported valuation which stood at just under $2 billion back in 2019 when it closed a Series B round led by Sequoia Capital China .
With increasing demand for AI solutions across industries , there are many opportunities available today that weren’t present even five years ago . Companies like Cohere are well positioned take advantage these opportunities due their focus on providing advanced analytics capabilities through their platform . As companies continue investing heavily into digital transformation initiatives , we expect more players like Cohere emerge onto scene offering innovative solutions powered by artificial intelligence .
Reuters
