French artificial intelligence company Mistral AI has agreed to acquire Austrian startup Emmi AI, an industrial engineering technology firm co-founded by Latvian entrepreneur Miks Miksons, Latvian national broadcaster LSM reported on May 19.

The two companies confirmed the deal on May 19, though financial details were not disclosed.

The takeover is expected to strengthen Mistral AI's industrial engineering capabilities and broaden its reach in advanced manufacturing technologies.

Mistral AI develops artificial intelligence systems for manufacturing and engineering, while Emmi AI specialises in accelerating industrial design and simulation processes using artificial intelligence. Emmi AI's technology allows manufacturers to replace complex simulations that previously took days with real-time modelling and digital twin systems.

Miksons, who previously worked with Latvian software scaleup Lokalise and is now based in Lithuania, said the deal demonstrated the global potential of Baltic-founded technology firms.

"The Baltics can produce world-class founders and globally significant AI companies. Not someday in the future, but now. I hope Emmi AI's journey encourages more founders from Latvia and the Baltic region to think globally, build boldly, and aim for world-scale impact," Miksons said.

Emmi AI has positioned itself at the intersection of artificial intelligence and industrial engineering, targeting sectors seeking faster product development and more efficient operations.

Mistral AI, one of Europe's leading artificial intelligence firms, has expanded rapidly amid growing competition in a global market dominated by US and Chinese companies.