Databricks has agreed to acquire the artificial intelligence start-up MosaicML in a deal that is valued at roughly $1.3 billion. The deal comes as Databricks is looking to capitalize on the growing AI industry to seek to gain a foothold in the demand for generative AI.
The San Francisco data storage management start-up Databricks has stated that the deal will include already developed AI-based data management technologies as well as MosaicML’s language model platform. This acquisition will allow Databricks to provide the necessary tools for organizations to build their own language models utilizing their own data. Normally organizations are forced to outsource to third parties for language models that are derived mainly from public data.
MosaicML was originally founded in 2021 and was created in hopes of providing a more affordable means of acquiring generative AI. The deal between the two companies is expected to close by the end of July.
Source: Wall Street Journal