Citigroup Invests in Japanese AI Start-up Sakana AI
Citigroup, one of the leading banking groups in the US, has made a significant investment in Sakana AI, a Tokyo-based artificial intelligence (AI) start-up. This marks Citigroup’s first-ever investment in a Japanese start-up, highlighting the bank’s strategic focus on innovative technology and global expansion. While the exact amount invested was not disclosed, both parties have described the investment as “strategic.”
Speeding Up Innovation in Global Financial Services
Citigroup and Sakana AI have expressed their shared goal of hastening innovation in global financial services. Sakana AI’s research and development capabilities are expected to play a significant role in achieving this objective. The investment was made through Citigroup’s Markets Strategic Investments arm.
Sakana AI’s Unique Offerings
Sakana AI has developed a robust offering that has won the trust of many, including Citigroup. As Siris Singh, the global head of Citi Markets Strategic Investments, stated, Sakana AI’s unique and robust offerings have helped them establish a strong foundation and product-market fit in Japan. The start-up specializes in building new types of foundational models and enterprise-grade AI tools based on nature-inspired intelligence.
Plans for International Expansion
The new capital infusion is expected to expedite Sakana AI’s international expansion. The Tokyo-based start-up’s CEO, David Ha, expressed enthusiasm about collaborating with Citi to transform global financial services, leveraging their expertise in applying frontier AI within specialized financial domains.
Previous Partnerships and Investments
In 2025, Sakana AI announced partnerships with Mitsubishi UFJ Financial Group (MUFG) and Daiwa Securities Group to develop custom AI models tailored to specialized financial domains. In November, Sakana AI also received investment from the Santander Group, a Spanish banking giant, as part of its Series B fundraising.
AI Push by US Banking Majors
Other US banking majors have also ramped up their AI initiatives. Wells Fargo, for instance, is planning to roll out AI tools incrementally through 2026 and beyond, in a bid to boost efficiency. While Wells Fargo CEO Charlie Scharf has clarified that AI is not expected to replace human staff entirely, it is anticipated to significantly change how work is carried out across the organization. Similarly, JPMorgan Chase CEO Jamie Dimon has spoken about plans for worker redeployment amid AI adoption.
This investment by Citigroup in Sakana AI underscores the growing trend of major banks embracing AI to enhance efficiency, customer service, and overall innovation. As these partnerships and investments continue, the intersection of finance and AI is expected to create more opportunities for businesses and customers alike.
