Sakana AI: The Japanese Startup “Challenging” OpenAI | What is Generative ai vs ai | Generative ai Free | Generative ai Examples in Healthcare | Turtles AI

Tokyo-based startup Sakana AI, founded by former Google researchers, is on track to achieve unicorn status in less than a year since its inception. This article delves into its origins, evolutionary development model, and ambitions to challenge industry leader OpenAI.

Founded in Tokyo in July 2023, Sakana AI was co-founded by David Ha and Llion Jones, former Google researchers, alongside Ren Ito, a former Mercari executive and official at Japan’s Ministry of Foreign Affairs. The startup stands out for its innovative approach to AI, inspired by natural principles like evolution and collective intelligence. Its unique methodology involves using smaller, collaborative models instead of monolithic systems, thereby reducing computational resources and environmental impact. Sakana AI employs evolutionary algorithms to automate model development, simulating the natural selection process where models with different capabilities are combined and refined over time to create efficient AI systems.

In January 2024, Sakana AI raised $30 million in seed funding led by Lux Capital, with strong participation from Khosla Ventures. Both venture capitals have a long history of AI investment, supporting companies like Hugging Face and Runway. Currently, Sakana AI aims to raise an additional $125 million from US investors such as New Enterprise Associates and previous investors Khosla Ventures and Lux Capital. If successful, its valuation will reach $1.1 billion.

Although Sakana AI does not yet have a consumer-facing product, it is accelerating research in generative AI with the goal of developing innovative systems that require lower costs and power. This could position Sakana as a significant player for businesses seeking scalable and cost-effective AI solutions. However, the path to reaching OpenAI’s levels is still long. OpenAI has raised approximately $11.3 billion to date, while Sakana AI has so far raised only $30 million.

The comparison between Sakana AI and OpenAI also stems from their roots and business models. OpenAI started as a non-profit organization, while Sakana AI does not follow this philosophy, focusing instead on less resource- and power-intensive AI models. With growing concerns about AI data center energy consumption, Sakana AI could represent a more sustainable solution.

Sakana AI’s future will depend on its ability to attract further investments and maintain its vision of nature-inspired AI development. Its rapid growth and innovative model could make it an intriguing alternative in the crowded AI landscape.

Highlights

• Origin and Foundation: Sakana AI was founded by former Google researchers and a former Mercari executive in July 2023.
• Innovative Approach: Utilizes smaller collaborative models and evolutionary algorithms inspired by nature for AI development.
• Funding and Goals: Raised $30 million and aims to raise another $125 million to reach a $1.1 billion valuation.
• Comparison with OpenAI: Although it lacks a consumer product, Sakana AI aims to develop low-cost, low-power generative AI, positioning itself as a sustainable alternative to OpenAI.