In the realm of artificial intelligence, a new contender has emerged, poised to challenge the dominance of OpenAI and Anthropic. Mistral AI, a Paris-based startup, unveils its latest offering: Mistral Large, a groundbreaking language model that promises to rival the likes of GPT-4 and Claude 2 in terms of reasoning capabilities.
Alongside Mistral Large, the company introduces Le Chat, its very own alternative to ChatGPT, currently in beta. This chatbot is designed to engage users in natural language conversations, offering assistance and information.
Mistral AI’s journey began in May 2023, securing an impressive $112 million seed round within weeks of its incorporation. The company’s momentum continued with a subsequent $415 million funding round led by Andreessen Horowitz (a16z) in December.
Initially positioning itself as an open-source AI company, Mistral AI’s approach has evolved. While its first model was released under an open-source license, larger models like Mistral Large are offered through a paid API with usage-based pricing.
This business model mirrors that of OpenAI, with Mistral Large’s pricing currently set at $8 per million input tokens and $24 per million output tokens. Notably, Mistral Large is significantly more cost-effective than GPT-4, offering a 5 to 7.5 times lower cost for a similar context window.
The question on everyone’s mind: how does Mistral Large compare to its formidable competitors? Mistral AI claims a second-place ranking behind GPT-4 based on benchmark evaluations. However, real-life usage may reveal disparities, warranting further testing.
In addition to Mistral Large, the company introduces Le Chat, an accessible chat assistant available at chat.mistral.ai. This beta release offers three model options: Mistral Small, Mistral Large, and Mistral Next, a prototype designed for concise responses. It’s important to note that Le Chat currently lacks web access.
Mistral AI has ambitious plans for Le Chat, including a paid version tailored for enterprise clients. This version will provide central billing and moderation mechanisms, catering to the specific needs of businesses.
The company’s partnership with Microsoft is another significant development. Mistral models will be made available to Azure customers, expanding their reach and accessibility. This collaboration opens doors for potential future collaborations and opportunities.
Mistral AI’s entry into the AI arena is a game-changer, challenging the existing landscape and offering compelling alternatives. As the AI revolution continues to unfold, Mistral AI is a name to watch, poised to make waves in the industry.