Mistral Raises $2 Billion With ASML As Top Investor

The French AI company Mistral has allegedly raised $2.45 billion in a recent Series C funding round, led by the Dutch company ASML, which committed 1.3 billion euros to the fundraise. Mistral is becoming Europe’s most valuable AI company.

According to a Reuters exclusive published on Sunday, anonymous sources said ASML—known for its machines crucial to chipmaking—is expected to get a board seat at Mistral if the deal closes, as it would become its largest investor. The details of the negotiations have not yet been publicly disclosed, but people familiar with the matter said this round will make Mistral the most valuable AI company in Europe.

The new alliance would make Europe less reliant on U.S. and Chinese AI models. Mistral, which launched its first reasoning AI model, Magistral, in June, competes with frontier models such as OpenAI’s ChatGPT and Google’s Gemini. The new funding could help the French AI startup accelerate the development of its technology, while ASML could leverage Mistral’s AI and data analytics capabilities to improve its tools and enhance performance.

ASML is the only company in the world that produces and sells extreme ultraviolet (EUV) lithography machines, crucial for the mass production of advanced chips for AI models.

After its Series B funding last year, Mistral—founded in 2023 by former DeepMind researcher Arthur Mensch, and former Meta researchers Guillaume Lample and Timothée Lacroix—was valued $6 billion. A few days ago, Bloomberg News reported that it could reach a $14 billion valuation after this Series C round.

According to analysts at Innovation Origins, this new deal aligns with the European autonomy agenda, especially amid tensions with the United States and Trump’s import tariffs on semiconductors affecting the tech chain. ASML has also been working with Nvidia, one of Mistral’s investors and business partners, making this new deal a strategic partnership as well.

Just a few months ago, Mistral also partnered with the French giant TotalEnergies to develop new energy solutions and optimize processes.