Apple has faced challenges in keeping up with AI advancements, particularly with Siri, which has been criticized for lagging behind competitors like Google Assistant and Amazon’s Alexa. Perplexity’s advanced AI search technology could provide the boost Apple Intelligence needs. By integrating Perplexity’s capabilities, Apple could enhance Siri’s functionality and introduce a proprietary AI search engine, leveraging its hardware dominance to deliver a seamless user experience.
The acquisition could also help Apple address its ongoing antitrust issues. Apple currently pays Google approximately $20 billion annually to maintain Google as the default search engine in Safari, a practice under scrutiny in an antitrust case. Developing an in-house AI search solution with Perplexity’s technology could reduce this dependency, offering a strategic way to mitigate regulatory pressures.
Apple is not alone in its interest in Perplexity. According to The Verge, Meta is also considering an offer for the startup, while Bloomberg notes that Meta recently acquired a 49% stake in Scale AI for $14.3 billion after failing to secure a deal with Perplexity. Additionally, an X post by Mark Gurman indicates Samsung is pursuing a partnership with Perplexity, highlighting the intense competition for AI talent and technology.
Perplexity recently closed a funding round at a $14 billion valuation, underscoring its rapid growth and appeal. If acquired, it could bring significant AI talent to Apple, addressing a critical need as the company strives to innovate. The startup’s AI search capabilities, praised for their effectiveness, could transform Apple’s product offerings, particularly in search and virtual assistant functionalities.
If Apple proceeds with acquiring Perplexity, it could mark a pivotal moment in its AI strategy, positioning the company to compete more effectively against tech giants like Google and Meta. However, the high valuation, competition, and early-stage nature of the talks introduce significant uncertainty. As Apple navigates these challenges, the tech world watches closely to see if this bold move will redefine its AI offerings.
