Mistral AI Acquires Koyeb to Accelerate Full-Stack AI Cloud Infrastructure Strategy

Mistral AI, the French artificial intelligence company currently valued at $13.8 billion, has completed its first acquisition by purchasing Koyeb, a Paris-based startup specializing in scalable AI application deployment and infrastructure management. This strategic move signals Mistral's evolution from a pure large language model (LLM) developer into a comprehensive full-stack AI platform provider.

The acquisition directly supports Mistral's cloud infrastructure ambitions, particularly its Mistral Compute offering announced in June 2025. Mistral Compute represents the company's entry into the AI cloud infrastructure market, and Koyeb's technology and expertise are expected to significantly accelerate this initiative.

Koyeb's Background and Technology

Founded in 2020 by three former Scaleway engineers, Koyeb developed a serverless platform enabling developers to process data without managing underlying server infrastructure. As AI workloads became increasingly demanding, the company expanded its offerings to include Koyeb Sandboxes—isolated environments specifically designed for deploying AI agents.

Prior to the acquisition, Koyeb's platform already supported deployment of Mistral models alongside other AI frameworks, making the integration a natural technical fit.

Strategic Integration Plans

According to Mistral's press release, Koyeb's technology will enable several key capabilities:

• Direct model deployment on clients' on-premises hardware

• GPU utilization optimization

• Enhanced AI inference scaling capabilities

• Integration as a core component of Mistral Compute infrastructure

All 13 Koyeb employees, including co-founders Yann Léger, Edouard Bonlieu, and Bastien Chatelard, will join Mistral's engineering organization under CTO and co-founder Timothée Lacroix. Lacroix stated that "Koyeb's product and expertise will accelerate our development on the Compute front, and contribute to building a true AI cloud."

European AI Infrastructure Expansion

This acquisition aligns with Mistral's broader infrastructure strategy. The company recently announced a $1.4 billion investment in Swedish data centers, responding to growing demand for alternatives to U.S.-based AI infrastructure. CEO Arthur Mensch has positioned Mistral as an organization "headquartered in Europe, that is doing frontier research in Europe," emphasizing the company's commitment to European sovereign AI capabilities.

Floriane de Maupeou, principal at Serena (lead investor in Koyeb's $7 million seed round), emphasized that this combination will be instrumental "in building the foundations of sovereign AI infrastructure in Europe."

Financial Performance and Market Position

Mistral has recently surpassed $400 million in annual recurring revenue, driven by geopolitical tailwinds and its focus on enterprise AI value realization. Koyeb had raised $8.6 million in total funding, including a $1.6 million pre-seed round in 2020 and a $7 million seed round in 2023.

Following the acquisition, Koyeb's platform will continue operating but will shift focus toward enterprise clients. The company has discontinued new user registrations for its Starter tier. Financial terms of the acquisition were not disclosed, and it remains unclear whether additional acquisitions are planned.

Sources:

Mistral Compute Product Page

Koyeb Acquisition Announcement

Koyeb Sandboxes Launch

Mistral Sweden Data Center Investment

Mistral Financial Performance Report