Google might invest millions in Character.AI, nominee for best new Android app in 2023،
Artificial intelligence is making its way into the field of mobile technology, and almost everyone is getting into AI development. Google is leading the charge with its latest Pixel 8 and Pixel 8 Pro, heavily infused with AI features. Samsung, gearing up for the upcoming Galaxy S24 series, is also making waves with its new AI model, Gauss. Even Apple is joining the AI party and working on integrating generative AI into its iPhone 16 series. Although AI features on devices are still in the works, AI-based apps are in gaming for some time, and Google seems to want to invest in this area.
According to Reuters, Google is in discussions to invest hundreds of millions of dollars in Character.AI, a fast-growing AI chatbot startup. The move comes as Character.AI seeks capital to train models and meet growing user demand.
The potential investment, possibly structured as convertible notes, will further strengthen the existing partnership between Character.AI and Google. The startup currently uses Google cloud services and Tensor Processing Units (TPU) for model training.
Character.AI, founded by former Google employees Noam Shazeer and Daniel De Freitas, offers users the ability to chat with virtual versions of celebrities like Cristiano Ronaldo or tech moguls like Elon Musk and Bill Gates. Users can also create their own chatbots and AI assistants. Although the service is free, it offers a subscription model charging $9.99 per month for users who want to avoid the virtual line to access a chatbot.
The chatbots provided by Character.AI have varied roles and tones, attracting a significant user base aged 18-24, making up approximately 60% of the website’s traffic. This demographic positioning helps the company distinguish itself as a more entertaining and personalized AI companion compared to competitors like OpenAI’s ChatGPT and Google’s Bard. The startup claims to have recorded 100 million monthly visits to its website in the first six months after its launch.
Character.AI has also been making waves in the app world, earning a nomination as one of the top 10 apps of the year as chosen by Google Play users. Voting continues until November 14. If you want, you still have time to vote for your favorite app, game or book on Google Play.
