Cloud Power Moves: Mistral AI Acquires Koyeb to Fuel Growth

Mistral AI Acquires Koyeb to Accelerate AI Cloud Infrastructure Development

Mistral AI, a French company valued at $13.8 billion, has recently made its first acquisition by agreeing to buy Koyeb, a Paris-based startup specializing in simplifying AI app deployment at scale and managing the infrastructure behind it.

This acquisition marks Mistral’s shift towards becoming a full-stack player, expanding beyond its reputation for developing large language models (LLMs). The company had previously announced Mistral Compute, an AI cloud infrastructure offering in June 2025, and the acquisition of Koyeb is expected to further enhance this initiative.

Founded in 2020 by former employees of French cloud provider Scaleway, Koyeb’s focus on serverless computing has gained traction in the AI industry as it eliminates the need for developers to manage server infrastructure. Their recent launch of Koyeb Sandboxes provides isolated environments for deploying AI agents.

Before the acquisition, Koyeb’s platform already facilitated the deployment of models from Mistral and other providers. Following the acquisition, Koyeb’s team and technology will assist Mistral in deploying models directly on clients’ hardware, optimizing GPU usage, and scaling AI inference.

The 13 employees and three co-founders of Koyeb, including Yann Léger, Edouard Bonlieu, and Bastien Chatelard, will join Mistral’s engineering team led by CTO and co-founder Timothée Lacroix. Koyeb’s platform is expected to evolve into a core component of Mistral Compute in the near future.

Lacroix emphasized that Koyeb’s expertise will accelerate Mistral’s development on the Compute front, contributing to the establishment of a comprehensive AI cloud infrastructure. Mistral’s recent investment in data centers in Sweden reflects the company’s growing cloud ambitions.

Having raised $8.6 million in funding, Koyeb’s acquisition by Mistral marks a significant milestone in building sovereign AI infrastructure in Europe, according to Floriane de Maupeou of Serena, the VC firm that led Koyeb’s seed round in 2023.

With Mistral surpassing $400 million in annual recurring revenue and a renewed focus on enterprise clients, the acquisition of Koyeb signals a strategic move towards enhancing AI capabilities for businesses. Koyeb’s Starter tier will no longer be available for new users as the company aligns its services with enterprise demands.

While financial details of the acquisition remain undisclosed, Mistral’s CEO Arthur Mensch hinted at potential future acquisitions during a recent conference, highlighting the company’s commitment to frontier research and infrastructure development in Europe.