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Apple Reportedly Eyes AI Startup Perplexity Amid Rising Search Tech Competition

Apple Reportedly Eyes AI Startup Perplexity Amid Rising Search Tech Competition. Source: Ank Kumar, CC BY-SA 4.0, via Wikimedia Commons

Apple is reportedly exploring a potential acquisition of artificial intelligence startup Perplexity, according to Bloomberg News. The internal discussions, which involve Apple’s M&A chief Adrian Perica, services head Eddy Cue, and key AI decision-makers, are still in early stages and no formal offer has been made. Perplexity has not been approached by Apple and stated it has “no knowledge of any current or future M&A discussions.”

The move would mark a significant shift for Apple as it seeks to enhance its AI capabilities. The company is reportedly interested in integrating AI-powered search tools—like those developed by Perplexity—into its Safari browser, potentially signaling a departure from its long-standing partnership with Google, which currently powers default search on Apple devices. This comes as the U.S. Department of Justice pushes antitrust remedies that could prevent Google from paying to maintain that default position.

Perplexity, backed by Nvidia and recently valued at $14 billion, is gaining traction with AI-driven search solutions that offer direct information summaries, challenging traditional search engines like Google. The startup competes with other generative AI tools such as OpenAI’s ChatGPT and Google’s Gemini and is particularly popular among younger users seeking faster, context-rich answers.

Meanwhile, Meta Platforms also showed acquisition interest in Perplexity earlier this year, according to Bloomberg. Meta has aggressively expanded its AI ambitions, investing $14.8 billion in Scale AI and appointing Scale’s CEO to lead its superintelligence division.

As tech giants race to lead in AI, Apple’s potential bid for Perplexity reflects the growing importance of next-gen search technologies in maintaining user engagement and market dominance. If pursued, it could be Apple’s largest acquisition to date.

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