
As the U.S. and China vie for dominance in AI, a new geopolitical dynamic is emerging among a group of so-called “middle powers.” From Canada, France, and Germany to Japan, South Korea, Israel, and the UAE, countries are attempting to build so-called “sovereign AI” systems designed to offer alternatives to technology from the U.S. and China. These sovereign AI efforts prioritize local companies building their own powerful AI models, local AI infrastructure, data control, and alignment with national or regional priorities.
That dynamic was on full display today as Canadian AI company Cohere announced a strategic partnership with German AI startup Aleph Alpha, forming a transatlantic alliance aimed at strengthening their position in the global AI market. Schwarz Group, a major Aleph Alpha shareholder, committed $600 million in future financing and will lead Cohere’s upcoming Series E round.