It has hired Character.AI’s co-founders Noam Shazeer and Daniel De Freitas. More importantly, their research team of 30 members also comes as part of the deal. Character.AI was founded by the cofounders after they left Google in 2021 because of dissatisfaction with the bureaucratic processes at Google. Their returning to Google is a huge change in tides.
The deal has something for both investors and employees in the form of compensation. Google values Character.AI at $25 billion. That valuation speaks much about the pace at which the startup grew and its gross potential. Furthermore, Google will offer cash equal to the vested shares. This move will ensure that all parties are compensated fairly.
Before this acquisition, Character.AI raised about $150 million. The valuation of the startup was $1 billion. This huge jump in valuation depicts that it is developing very fast. Hence, the acquisition speaks a lot about the technological advancement of Character.AI.
The acquisition by Google is for enhancing its artificial intelligence capabilities. The in-house integration of Character.AI expertise is going to give a boost to the development of AI for Google. Further, it also indicates the innovative nature of Google. Moreover, this move places Google in a strategic position in this highly competitive AI market.
This acquisition by Google of Character.AI shows one major step toward development. It is a major deal that encompasses the advancement in AI technology. The strategic hire of Google is going to boost its AI capabilities. So, it will shape the future of AI development.
