A 2-year-old generative artificial intelligence startup called MosaicML will be acquired by Databricks, a $38 billion company, in a deal worth $1.3 billion in stock, with the retention benefits of the MosaicML team. According to the official website, the team consisted a total of 60+ members, combining the staff of offices in San Francisco, New York, Palo Alto & San Diego.
The whole MosaicML team, including its top-tier research team, is anticipated to join Databricks following the acquisition. According to Databricks, the partnership with MosaicML would make generative AI available to all types of businesses, allowing them to create, control, and secure generative AI models using their own data.
Naveen Rao, a former executive at Intel and the founder of Nervana and Hanlin Tang established MosaicML in 2021. From investors including DCVC, AME Cloud Ventures, Lux Capital, Lux, Frontline, Atlas, Playground Global, and Samsung Next, MosaicML had raised $64 million.
Two AI solutions from MosaicML were unveiled last month in an effort to undercut market leaders like OpenAI on price. Numerous generative AI services offered by MosaicML compete more directly with firms like OpenAI or Anthropic.
Modern MPT large language models (LLMs) are a trademark of MosaicML. With more than 3.3 million downloads of MPT-7B and the most recent launch of MPT-30B, MosaicML has demonstrated how businesses can easily create and train their own cutting-edge models using their data in a time- and money-efficient manner. These AI services are available as much as 15 times less expensive than its rivals, according to MosaicML.