AI21 has raised $53m to develop enterprise generative AI

AI21, an Israeli company developing generative AI solutions for businesses, has raised an additional $53 million in a Series C. The entire round raised $208 million at a startup valuation of $1.4 billion.

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Intel Capital and Comcast Ventures funds took part in the round. NVIDIA and Google also invested in AI21. The total amount of funding reached $336 million.

The startup plans to use the funds received to develop industry-specific generative AI solutions, including models and algorithms for specific business tasks. This will allow AI21 to compete with OpenAI for the corporate segment of the market.

According to AI21 CEO Yoav Shoham, OpenAI's approach is not optimal for enterprises. Unlike ChatGPT, businesses need integrated applications with specialised AI. That's where AI21 sees its competitive advantage.

Source: VentureBeat