Cohere merges with Aleph Alpha to build a European AI rival to US giants

Lidl owner backs the deal as governments bless it

Canadian AI firm Cohere is taking over Germany’s Aleph Alpha, backed by Schwarz Group, the owner of Lidl. With government support, the merger aims to deliver a “sovereign” AI option for enterprises—countering a market currently dominated by American companies. The move signals growing pressure on Europe to control key AI infrastructure closer to home.