Bernard Arnault, the CEO and founder of LVMH, is venturing into the world of artificial intelligence (A.I.) through significant investments. Shifting from his traditional luxury brand focus, Arnault has directed substantial capital towards A.I. startups via Aglaé Ventures, his family office-backed venture capital firm. In the past eight months, Arnault has participated in funding rounds worth $300 million for A.I.-focused companies, a move that aligns with his strategic diversification into emerging technologies.
Arnault’s current investments show a strategic shift compared to past ventures. Historically, the LVMH CEO has focused on technology startups that align with luxury and fashion. Earlier investments included startups like Google and Netflix, highlighting Arnault’s interest in tech’s potential. However, his new focus on A.I. represents a broader approach to innovation, particularly in the realms of artificial general intelligence (A.G.I.) and enterprise applications.
Key Investments in A.I.
Arnault’s funding activities prominently feature the French startup H, founded by former Google DeepMind researchers. Known initially as Holistic AI, H raised $220 million in May, attracting investors including former Google CEO Eric Schmidt, Samsung, and Amazon. H aims to develop A.G.I., signaling a robust interest in creating human-level intelligent systems.
In addition to H, Arnault has supported Borderless AI, a Canadian startup focused on A.I. applications in human resources, with a $27 million co-led seed round. Another notable investment is in Photoroom, a French company advancing A.I.-powered photo-editing platforms, which received $43 million in February. U.S.-based startups like Lamini and Proxima have also seen investments, with Lamini raising $25 million and Proxima securing $12 million for its data intelligence software.
LVMH’s Technological Innovations
LVMH itself is not shying away from A.I. integration. The conglomerate has signed a strategic partnership with Google Cloud to incorporate A.I. into areas such as demand forecasting and inventory management. Moreover, its involvement in the LVMH Data A.I. Summit and the Stanford Institute for Human-Centered A.I. highlights its commitment to understanding and leveraging A.I. technologies.
Arnault’s recent remarks at the VivaTech trade fair underline LVMH’s historical connection with tech startups. Reflecting on the 1990s, he mentioned early investments in companies like Google and Netflix, reinforcing his belief in creativity, quality, and efficiency as core values for successful long-term investments.
Arnault’s foray into A.I. investing represents a significant strategy that diverges from his luxury roots but is consistent with his history of tech investments. These investments could potentially reshape various industries by fostering advancements in A.G.I. and enterprise applications. For readers, understanding these moves offers insights into how traditional business leaders are adapting to the rapid evolution of technology.
