Google invests in Sakana AI to boost Gemini’s presence in Japan

Core Insights - Google has invested in Japanese startup Sakana AI to enhance the presence of its chatbot Gemini in Japan, a market keen on accelerating AI adoption [1] - The investment follows a $135 million Series B funding round that valued Sakana at approximately $2.6 billion [1] - Sakana aims to leverage Google's language models to improve product reliability and develop new offerings [2] Company Developments - Sakana AI, founded in 2023, has received a government-backed grant to promote AI development based on the Japanese language [4] - The startup has secured service contracts with major financial institutions like MUFG Bank and Daiwa Securities to create AI tools [3] - Sakana plans to collaborate more closely with Japan's Defense Ministry and expand its enterprise client base while exploring international growth [4] Industry Context - The AI landscape in Japan remains competitive, with traditional business models posing challenges to rapid adoption [3] - The partnership with Google positions Sakana to better compete against established players like OpenAI's ChatGPT in a cash-rich corporate environment [1]