ASML Bets Big on AI’s Future with 11% Stake in Mistral

Mistral AI has solidified its position as a formidable competitor in the artificial intelligence landscape with a landmark Series C funding round that values the French startup at €11.7 billion post-money. The funding, amount of €1.7 billion, was led by ASML Holding NV (ASML), the Dutch semiconductor equipment manufacturer, which invested €1.3 billion and gained an 11% stake in the company on a fully diluted basis. This strategic partnership not only accelerates Mistral AI’s research and technological progress but also integrates ASML’s expertise in the semiconductor value chain with Mistral’s AI capabilities. ASML’s investment underscores the growing importance of AI in the semiconductor industry and signals a long-term collaborative vision to enhance lithography systems and drive innovation in the field [1].

Mistral AI, co-founded by Arthur Mensch, Timothée Lacroix, and Guillaume Lample—former researchers from DeepMind, Meta, and other major U.S. tech firms—has rapidly emerged as one of the most promising European AI startups. The company has developed a suite of models, including Mistral Large 2, Pixtral Large, Magistral, Mistral Medium 3, and Devstral, among others. These models are designed for diverse tasks, from coding and reasoning to multimodal processing and audio generation. In July 2025, the company unveiled Devstral Medium and upgraded Devstral Small, further enhancing its coding capabilities. Mistral AI also released Mistral OCR, an API for optical character recognition, and launched Mistral Code, a coding assistant competing with established tools like GitHub Copilot [3].

The company’s consumer-facing product, Le Chat, has gained significant traction in the market. Introduced as an alternative to OpenAI’s ChatGPT, Le Chat reached one million downloads within two weeks of its mobile launch and now features advanced functionalities such as deep research mode, multilingual reasoning, and memory retention. A paid Pro plan priced at $14.99 per month was introduced in February 2025, offering users enhanced capabilities. On the enterprise side, Mistral AI monetizes its premier models via APIs and usage-based pricing, while also generating revenue through strategic partnerships and licensing deals [3].

Mistral AI’s strategic partnerships span various industries, including defense, telecommunications, and automotive sectors. The company has partnered with France’s army and job agency, Luxembourg’s CMA, German defense tech startup Helsing, IBM, Orange, and Stellantis, among others. Additionally, Mistral AI has collaborated with Agence France-Presse (AFP) to enable AI-powered queries of the press agency’s historical archives. In a significant move, Mistral AI is also developing an AI Campus in the Paris region through a joint venture with MGX, NVIDIA, and Bpifrance. The company also announced a European AI platform, Mistral Compute, powered by NVIDIA processors, set to launch in 2026 [3].

Mistral AI’s fundraising history reflects strong investor confidence in its trajectory. The company has raised over €1 billion in capital since its inception, including a €1.7 billion Series C funding round that more than doubles its valuation from €5.8 billion in 2024. The Series C was led by ASML and included participation from existing investors such as DST Global, Andreessen Horowitz, Bpifrance, General Catalyst, and NVIDIA. This funding follows a series of high-profile investments, including a €385 million Series A in 2023 and a €600 million round in 2024. The company’s growing valuation has drawn comparisons to OpenAI, with some observers suggesting Mistral AI could emerge as a major global AI player if it continues to scale effectively [1].

Mistral AI’s CEO, Arthur Mensch, has emphasized the company’s independence and its commitment to advancing frontier AI for industrial and public sector applications. The partnership with ASML is expected to enhance Mistral AI’s ability to develop custom AI solutions for complex engineering challenges. ASML will also gain a seat on Mistral AI’s Strategic Committee, with CFO Roger Dassen assuming an advisory role. The collaboration is seen as a milestone in the integration of AI into semiconductor manufacturing and highlights the growing interdependence between AI and hardware innovation. As Mistral AI continues to expand its product portfolio and strategic reach, it is positioning itself as a key player in the global AI race [2].

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[1] Mistral AI raises 1.7B€ to accelerate technological progress with AI (https://mistral.ai/news/mistral-ai-raises-1-7-b-to-accelerate-technological-progress-with-ai)

[2] ASML, Mistral AI enter strategic partnership (https://www.asml.com/en/news/press-releases/2025/asml-mistral-ai-enter-strategic-partnership)

[3] What is Mistral AI? Everything to know about the OpenAI ... (https://techcrunch.com/2025/09/07/what-is-mistral-ai-everything-to-know-about-the-openai-competitor/)

[4] AI firm Mistral valued at $14 billion as ASML takes major ... (https://www.cnbc.com/2025/09/09/ai-firm-mistral-valued-at-14-billion-as-asml-takes-major-stake.html)