Toronto-based AI company Cohere, founded in 2019 by ex-Google researchers, has rapidly grown to a valuation of $6.8 billion after raising $500 million in funding led by Radical and Inovia, up from $5.5 billion in July 2024.

Cohere specializes in practical, enterprise-focused AI solutions emphasizing privacy and security, particularly for regulated industries like finance and healthcare, setting itself apart from consumer-oriented models.

The company’s flagship product, North, is an AI agent-building system adopted by clients such as RBC, Bell, and STC Group, aimed at improving productivity in sectors like finance and government.

Despite fierce competition from tech giants like Google, Microsoft, and OpenAI, Cohere maintains a focus on real-world applications and aims to leverage its model-centric approach to boost enterprise productivity.

Cohere appointed Joelle Pineau, a former Meta VP of AI research and expert in open models, as its Chief AI Officer to lead its research and AI strategy, signaling a strategic leadership shift.

In addition to Pineau, the company appointed Francois Chadwick, ex-CFO of Uber and Shield AI, as CFO, reflecting its focus on strategic growth and operational leadership.

Pineau's leadership is focused on developing secure, customizable AI solutions and exploring how networks of AI agents can enhance operational efficiency, especially in regulated environments.

Cohere plans to use its recent funding to develop agentic AI capable of improving operational efficiency for businesses and governments, emphasizing practical AI applications.

The company has doubled its annual recurring revenue to over $100 million in 2025, demonstrating strong growth despite industry challenges.

Cohere's growth is supported by strategic partnerships, including a notable collaboration with BCE Inc., Canada's largest telecom, to integrate its AI models into secure data services.

Following its latest funding round, Cohere experienced layoffs of about 20 employees, reflecting the operational pressures of rapid scaling.

Cohere aims for global expansion and increased enterprise AI adoption, leveraging its focus on privacy, security, and customizable large language models to compete in a crowded market.