4th Largest AI Funding Goes to an Unknown Startup

Since the AI boom, companies and institutions have been heavily investing in this technology. Last week, however, only the 4th largest AI funding ever happened, at a value of $1.3 billion, and it went to Inflection AI.
Don’t worry if you’re only hearing about this startup now, because it is widely unknown.
Let’s see why Microsoft, NVIDIA, Bill Gates, and many others see it as the future of AI.

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inflection ai startup

Source: Inflection AI

ChatGPT, but make it a therapist    

In May 2023, a Palo Alto based company Inflection AI announced the release of its Personal AI, Pi. According to the company, Pi is designed to be a kind and supportive companion offering conversations, friendly advice, and concise information in a natural, flowing style. 


Pi was created to give people a new way to express themselves, share their curiosities, explore new ideas, and experience a trusted personal AI. It is built on world-class proprietary AI technology developed in-house. The Pi experience is intended to prioritize conversations with people, where other AIs serve productivity, search, or answering questions.

Official statement 

In other words, it is purely conversational, and you can think of it at some sort of a therapist version of ChatGPT. 

$4bn in only a year   

The company opened its doors around a year ago, and it is already valued at $4bn, along with the $1.3bn funding secured last week. 

Let’s take a look at how it happened. 

Inflection AI introduced what they call a “Personal Intelligence”, which is what “Pi” stands for. The company guarantees that Pi can provide infinite knowledge based on a person’s unique interests and needs. 

But how does it perform compared to its competitors in the same range? 

Well, quite impressive, actually. 

pi chatbot

As the team explained, on this benchmark, their model is the best performing foundation model in its class, outperforming Meta’s LLaMA, OpenAI’s GPT 3.5, and Google’s PaLM 540B


Inflection-1 achieves 72.7% on average across all 57 tasks, with greater than 90% accuracy on 5 different tasks. On 15 tasks Inflection-1 achieves greater than 85% accuracy. For comparison, a human expert scores an average of 89.8%, whilst an average human rater scores 34.5% overall.

It was trained using thousands of NVIDIA H100 GPUs on a very large dataset and the company plans to use the $1.3bn to create the “largest GPU cluster for AI applications in the world.” 

Microsoft, Nvidia and tech’s most influential billionaires, including LinkedIn cofounder Reid Hoffman, Microsoft cofounder Bill Gates and former Google CEO Eric Schmidt, led the investment.

This puts Inflection AI in the top 5 largest fundings ever when it comes to artificial intelligence-oriented companies.

largest ai fundings

New AI chat market on the rise

So, what’s so specific about Pi that helped them secure the top 5 AI fundings ever?

As far as we know, these are the two most important takeaways:

  1. This could be the start of using AI for psychological support. If you’re skeptical about the potential of this field, try it yourself. We bet you’ll spend at least 10 minutes speaking to Pi, and will be coming back for sure. 
  2. This investment could add to the growing tensions between Microsoft and OpenAI, considering that the latter plans to create two big Microsoft competitors, a marketplace and an AI assistant.   

In the end, there’s a huge demand for this kind of product, with the widest population’s interest at stake. Over time, we could see AI therapists becoming a common thing in our everyday lives, considering how accessible they’re becoming.


We really are at an inflection point. AI is going to be the most transformational tool of our lifetimes. What motivates me to work on Pi is that we will soon be able to provide a smart and helpful personal AI to millions of people around the world.

Mustafa Suleyman, CEO and co-founder of Inflection

Where is Pi available on?

Pi is currently available across platforms and it’s free to use at launch.

You can find Pi on the following channels:

  • Instagram: follow @heypi.ai and send Pi a DM. 
  • Facebook Messenger: click here to get in touch with Pi. 
  • WhatsApp and SMS: add +1 (314) 333-1111 to your contacts to message Pi. 
  • Online: talk with Pi at https://heypi.com 
  • Mobile: download Pi, your personal AI for iPhone or iPad. Pi will be available on Android soon. 

The company promises to keep the user’s safety and sensitive data, along with private information shared in conversation with Pi. You can learn more about Safety Terms here

A journalist by day and a podcaster by night. She's not writing to impress but to be understood.