French artificial intelligence (AI) startup Mistral AI has introduced an AI reasoning model, Magistral, in an effort to keep up with leading American and Chinese AI developers.
According to the Reuters report, this is Europe’s “first” AI reasoning model.
This new dual-release model utilises logical thinking to generate responses. It focusses on “real-world reasoning and feedback-driven improvement”.
The two versions of Magistral include the open-sourced Magistral Small and the more powerful Magistral Medium, designed for business clients.
Reasoning models, which employ chain-of-thought techniques to solve complex problems, may offer a direction for AI development as the conventional method of building larger language models faces constraints.
The company has gained endorsement from French President Emmanuel Macron.
Despite being Europe’s prime candidate for a domestic AI contender, Mistral has trailed behind in market share and revenue.
Mistral is valued at $6.2bn (€5.4bn) by venture capitalists, reported the news agency.
In January 2025, China’s DeepSeek emerged as a key player with its cost-effective, open-source AI models, including a reasoning model.
OpenAI pioneered the release of reasoning models last year, with Google following suit a few months later. Meta, which also shares its models openly, is yet to launch a standalone reasoning model, although it claims its latest high-end model includes reasoning capabilities.
Mistral stated: “The best human thinking isn’t linear – it weaves through logic, insight, uncertainty, and discovery. Reasoning language models have enabled us to augment and delegate complex thinking and deep understanding to AI.”
While American companies generally keep their most advanced models under wraps, with a few exceptions such as Meta’s open-source offerings, Chinese companies from DeepSeek to Alibaba have embraced the open-source route to showcase their technological prowess, reported the media outlet.
In May 2025, Mistral AI launched an enterprise-focused chatbot, Le Chat Enterprise.
“Mistral unveils Europe’s first AI reasoning model Magistral” was originally created and published by Verdict, a GlobalData owned brand.
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