Cohere acquires, merges with Germany-based startup to create a ‘transatlantic AI powerhouse’

Cohere said it plans to merge with Germany’s Aleph Alpha in a deal valuing the combined company at $20 billion.

Schwarz Group also plans to invest $600 million in Cohere’s upcoming Series E funding round.

The deal aims to build a transatlantic enterprise AI contender for governments and businesses seeking alternatives to U.S. tech giants.

The move underscores accelerating consolidation in the AI sector and the push for greater data control and regional AI options.