Inflection AI, a year-old artificial intelligence startup behind the chatbot Pi, has raised $1.3 billion in new funding, less than two months after the launch of its flagship product. The investment round was led by Microsoft, Nvidia, and influential tech billionaires including Reid Hoffman, Bill Gates, and Eric Schmidt. Nvidia was the sole new investor among the group. The funding values Inflection at $4 billion, according to sources familiar with the transaction.

CEO Mustafa Suleyman expressed that the additional investment came as a result of overwhelming offers following the successful launch of Pi, which validates Inflection’s core thesis that conversation is the new interface. Suleyman stated that the company and its CEO remained majority shareholders but refrained from providing further details.

While specific terms of the deal with Microsoft and Nvidia were not disclosed, Suleyman emphasized that the investment followed a traditional funding round, without any IP movement or ownership-like control by the investors. Inflection retains independence and flexibility to pursue its commercial objectives and partnerships.

With the latest funding, Inflection intends to expand its computing capabilities and further develop Pi. The chatbot, designed to engage in meaningful conversations with users to extract valuable information, has garnered significant engagement since its May launch and continues to add new features. Although user numbers were not disclosed, Forbes previously provided a preview of Pi, highlighting its potential.

Suleyman noted that the Pi model, which was announced earlier and possesses computing capabilities similar to OpenAI’s ChatGPT, is one of the smaller models in Inflection’s pipeline, with more significant developments planned. Additionally, the company plans to release an API for selected partners to train their own conversational AIs in the near future, prioritizing its focus on consumer products.