Or at least there’s been a lot of noise about that.
I dont't think that was meant to be implied: the EU actually has access to more GPUs than those hosted by European companies in Europe, just as US labs have access to GPUs hosted outside the US
Meanwhile, Anthropic and OpenAI have investors practically begging them to let them buy this much equity at mind-bogging valuations.
It's not impossible, but China is just much better set up for the nessesary level of government support
I've never heard or read anything about the EU planning on investing money in Mistral. They're a private company. They're French. It honestly sounds kind of absurd.
If you're going to make that claim at least put some effort in.
I already checked for one variation of a google search like I said.
Can you show some proof you did anything at all?
Not ruthless enough and no backing by a corrupt govt administration that has no morals but focuses on self-enrichment instead.
Might sound drastic but I think that's actually closer to the truth thn everbody likes to admit.
> My fear is that you are really only getting really good models by training on very dubious data (outputs from the frontier models etc) and that Mistral is too European and too enterprisey to take those risks.
Exactly.
I think an European company, taking Chinese models, perhaps doing its own post-training on them and training the Chinese-ness out, with a great chat service, enterprise API and coding agent, could be pretty valuable in itself.
Considering all their talk about new DCs and compute, and a few offhand comments, it sounded to me that compute is a big limitation.
All of the above and more. Everything holding Mistral back is the same thing that has held Europe back from competing in the entire digital revolution. See this 1991 article lamenting the loss of any viable European PC manufacturer: https://www.nytimes.com/1991/04/22/business/europe-stumbles-...
Mistral being in Europe is disadvantaged with:
1. Money: less diverse private pension fund environment = less LPs to invest in VC funds = less VC dollars to invest in new ventures. European money is vacuumed out of the private sector into state pension funds and dumped into low yielding government bonds. This starves the private sector of capital while inflating the % of GDP driven by government spending every year (government pension funds buying government bonds in circular fashion enable runaway deficit spending...just like circular AI infrastructure spending).
2. Talent & compute: due to #1, Silicon Valley can outbid Europe for the best talent and hardware. Watch an OpenAI launch video and listen to all the European accents.
3. Local market fragmentation: Europe is a collection of countries that pretend to work together while not even having a unified capital market. The average EU citizen can barely communicate with their neighbor in a common language beyond the level of a toddler (english fluency is massively overstated by Americans who only experience tourist capitals).
4. Regulatory disadvantages: In everything from company regs, employee regs, unions, privacy regs, data portability regs, etc.
It's not "culture" or Europeans being "lazy" as most people would claim. There's currently thousands of young french people working 80 hour weeks creating dumb consulting powerpoints or legacy investment banking deal memos as we speak. Ambitious people exist everywhere in equal proportion, they're just working on the wrong things.
Europe can't compete in the digital revolution the same way they could compete in the industrial revolution due to various system design choices. Culture is simply the aesthetically observed byproducts of system design.
Not true in my experience: even German waiters in small towns tend to have pretty fluent English.
Edit: more broadly, there’s just more friction when people aren’t in their first language. I know I hesitate to bring up some things, say hi to strangers, try making a joke, etc because the cost of talking is just… higher.
The German speaking members of our group had to order food for us in most restaurants.
And most locals aren’t waiters in restaurants.
There is definitely a lot of truth to that. Maybe a bit of an arbitrary measure, but these are the nationalites of the people that wrote the "Attention is all you need" paper. Pretty revealing I find:
Ashish Vaswani: India
Niki Parmar: India
Jakob Uszkoreit: Germany
Llion Jones: Wales (UK)
Aidan Gomez: Canada
Łukasz Kaiser: Poland
Illia Polosukhin: Ukraine
Noam Shazeer: USA
Personally, I would much rather have good public pensions and health-care, than A.I agents.
The US also has public pensions (social security payouts rival or beat many EU countries) with dramatically better tax free private options on top.
Also, the US has free healthcare (Medicare and Medicaid) for roughly 50% of its population.
Expanding that to 100% doesn’t suddenly make them a bad country to do business in.
You think OpenAI is going to close up shop and move to Mexico if the US expands single payer healthcare? That would actually make it even easier for businesses to operate in the US!
Explain to me how expanding US single payer healthcare suddenly makes the US a worse place to do business in than Europe?
Companies would love not having to deal with the complexities of 401ks and employer health plans.
There are supposedly streamlined paths for local residents, but I had to go through the standard corporate pipeline. I spent three months fighting a bizarre catch-22 between my notary (who cost €3k+) and the bank. To open the account, I had to prove I deposited €10k in capital. But I couldn't make the deposit without an active bank account. On top of that, the bank's compliance team kept arbitrarily canceling my application due to "incorrect answers"... refusing to tell me what the errors actually were and forcing me to restart the entire process ab initio.
I finally just gave up. I wrote off the €3,000 notary fee and €1,000 in registered office costs as a sunk cost, and incorporated a US LLC instead. It took under 10 minutes, no notary, fees of $25 since I did it myself, plus another 20 minutes to open the business bank account.
There was no commercial reason to choose Austria; it was purely sentimental. My ancestors were entrepreneurs in Linz and Vienna, and I loved the idea of renewing that legacy. But the sheer weight of the bureaucracy managed to kill about 99% of the early-stage startup enthusiasm you normally rely on to get a new project off the ground.
It's a bizarre system that Switzerland uses too. I've done it twice. Unfortunately the German speaking world has a lot of rules that are trying to eliminate all risk for investors and employees. The GmbH/AG capital requirements are just the start.
The next fun thing you might have encountered, at least in Switzerland, are rules that literally say your company's assets can't fall below 50% of your initial capitalization. If it does you're supposed to raise funds or make more investment of your own private capital and this rule pierces the usual liability requirements. Even more fun: it turns out that this law isn't actually enforced and locals regularly ignore it. But bad accountants won't tell you that. They'll just inform you of the law when you do your yearly accounts.
Then you have wealth taxes that cover the valuation of a startup as if it were a cash position. So if you raise $100M in investor funding then whatever shares you have left over are considered to be liquid assets you can offload at will, and are wealth taxed as such. The fact that the shares don't trade in a liquid market is irrelevant to the tax authorities. In Zürich at least that got patched by the local tax office deciding that startup shares aren't counted for the wealth tax, but this just means you have to be able to convince the tax authority that your company is a startup. The way they determine this is more or less just the opinion of whoever at the tax office assesses your case. Does it sound "startuppy" enough?
Fixing this stuff isn't hard, but it never gets fixed because European politics is both quite stagnant and dominated by people who view hostility to business as a virtue signal. They don't want to fix it because they think businesses are sort of like oil fields. They just exist, lying around naturally, and the only question is how to maximally exploit them.