Apple Eyes Perplexity AI Acquisition to Develop Own Search Engine

Apple is considering the acquisition of Perplexity AI, an artificial intelligence startup, to gain key AI talent and technology. This move aims to help Apple develop its own AI search engine, addressing potential regulatory risks associated with its long-term cooperation agreement with Google. The discussions are in the early stages and may not result in a purchase offer. Apple is also exploring the possibility of integrating Perplexity as an AI search engine option into its Safari browser and Siri voice assistant. The current partnership with Google generates approximately 20 billion dollars in revenue annually for Apple, but it faces threats from U.S. antitrust enforcement agencies. If the partnership is terminated, Apple will need to find alternatives.

Perplexity, founded in 2022, has quickly become a notable startup reshaping core internet services using generative AI. The company provides an AI tool that summarizes search results, lists citations for answers, and helps users optimize their queries. Perplexity is also developing an AI-driven web browser, directly challenging Google's Alphabet. Apple has met with Perplexity several times in recent months, with its AI team actively evaluating the technology, indicating a potential close relationship. However, a major obstacle in the acquisition process is the collaboration agreement between Perplexity and Samsung Electronics. Samsung, Apple's biggest competitor in the smartphone sector, plans to announce a deep partnership with Perplexity, making AI capabilities a key new area of competition for both companies.

Perplexity stated that the intention of top manufacturers to offer users "the best search and more accurate AI" is not surprising. However, regarding the acquisition news, the company stated that it currently does not have any information about current or future merger discussions involving Perplexity. Apple is not the only tech giant interested in Perplexity. Before investing 14.3 billion dollars in Scale AI, Meta Platforms held discussions regarding a potential acquisition of Perplexity AI, but no agreement was reached. Meta also attempted to recruit Perplexity's CEO to join Zuckerberg's newly established "Super Intelligence" team, which focuses on building more powerful AI systems. After the negotiations with Perplexity were terminated, Meta quickly completed a 14.3 billion dollars investment in the data labeling startup Scale AI. Apple and Meta are also competing in a broader talent acquisition battle, with both companies trying to recruit key figures in the AI industry.