Cohere, a Canadian-based enterprise AI company, has announced plans to merge with German-based Aleph Alpha. The deal, which is yet to close, will value the newly formed company at $20 billion.
The merger aims to provide businesses and governments an alternative to dominant tech players in Silicon Valley, offering greater independence and control over data.
Aleph Alpha's top backer, Schwarz Group, will invest $600 million in Cohere's Series E round, which is expected to close later this year.
The combined company hopes to create a 'transatlantic AI powerhouse' by combining talent pools across Canada and Germany.