Google Turns to Sakana AI for Gemini Push

This article first appeared on GuruFocus.

Alphabet Inc. (NASDAQ:GOOG) is putting money behind Japanese startup Sakana AI as it looks to speed up adoption of its Gemini chatbot in Japan, a market pushing hard to scale AI use.

Bloomberg reported that Google joined Sakana’s investor roster following the startup’s $135 million Series B round last year, which valued the company at about $2.6 billion. The size of Google’s investment was not disclosed, but the partnership gives Sakana access to Google’s foundation models, a move that should directly improve performance and speed up product development.

Sakana, founded by former Google researchers, has been positioning itself as a homegrown AI player focused on efficient, locally tuned models. CEO David Ha said tapping into Google’s models will help Sakana deliver better results as demand for AI tools ramps up across Japanese businesses and consumers.

Japan is a strategically important AI market, and teaming up with a local startup gives Google a faster, more tailored way to expand Gemini’s footprint. The deal highlights how Big Tech is increasingly leaning on regional partners to drive AI adoption.