Apple Considers Acquiring AI Startup Perplexity in Bid to Boost AI Capabilities

How Apple's biggest potential acquisition ever could perplex AI rivals like Google

Executives at Apple are weighing the possibility of buying buzzy AI start-up Perplexity, Bloomberg reported on Friday. Citing anonymous sources close to the matter, the report said that talks within Apple to bid for an acquisition of Perplexity were still in early stages. A spokesperson for Perplexity told Reuters that the company had no knowledge of any acquisition-related plans or discussions. Also: Apple vs. generative AI: Who needs who? If Apple were to go through with the purchase, it would mark the company's most ambitious and expensive acquisition yet: Perplexity's latest funding round left the company with a valuation of around $14 billion, according to Bloomberg. Apple and Perplexity did not immediately respond to requests for comment. To compete with AI chatbots and Google's increasing investment in AI search, Apple plans to add AI-powered features to its Safari browser, Reuters reported in May. The move would be bad news for Google, which has paid around $20 billion annually to be the default search engine on iPhones for years. That arrangement is already under scrutiny from regulators as part of the company's antitrust violations. Also: Google's AI Overviews will decimate your business - here's what you need to do While Google is still the undisputed ruler of search, new generative AI-powered tools like Perplexity and ChatGPT have been rapidly transforming many people's -- especially among younger generations -- basic approach to retrieving information online. Google has responded by introducing its own LLM-powered features into its search function, most notably in its AI Overviews feature. Many newer start-ups like Perplexity have built their core product around generative AI, which the tech industry and its investors view broadly as the future. Older, more well-resourced tech companies, meanwhile, have largely turned to the arts of investment and acquisition to keep their edge in the burgeoning AI race, as Microsoft did early on with OpenAI. Apple has faltered in the AI race compared to its competitors. While its competitors were going all-in on AI, Apple debuted its Vision Pro headset early last year amid much fanfare. Despite the huge amount of R&D resources that went into bringing that product to market, consumer reactions have been tepid, at best. Also: Forget the new Siri: Here's the advanced AI I use on my iPhone instead After the October rollout of Apple Intelligence, the company's unique on-device approach to seamless, everyday consumer AI, many features have either not yet shipped or failed to make a lasting impression. Despite announcing several new exciting AI features across its various operating systems, set to arrive in the fall, at WWDC earlier this month, the company has delayed its long-awaited Siri update. Acquiring Perplexity, with its industry clout and expansive user base, could give Apple a much-needed boost. Perplexity was founded in December 2022, barely one week after the public debut of ChatGPT, which sparked an avalanche of consumer and investor interest in generative AI. The company has positioned itself as a new kind of search engine, one that harnesses a collection of large language models (LLMs) to provide a more dynamic and engaging user experience. Want more stories about AI? Sign up for Innovation, our weekly newsletter. Rather than responding to user queries with a long list of internet links categorized by an algorithm in terms of relevance, Perplexity's search engine provides summarized responses in natural language, along with links to sources and a list of related follow-up questions. Also: Software 3.0 is powered by LLMs, prompts, and vibe coding - what you need know The company quickly gained the support of high-profile investors, including Nvidia and Amazon founder Jeff Bezos. At Bloomberg's Tech Summit earlier this month, CEO Aravind Srinivas reportedly said that Perplexity's usage is rising by over 20% month-over-month. Before investing in Scale AI, executives at Meta discussed the idea of buying Perplexity, Bloomberg also reported on Friday. Get the morning's top stories in your inbox each day with our Tech Today newsletter.

Apple Executives Have Held Internal Talks About Buying AI Startup Perplexity

Apple Inc. executives have held internal discussions about potentially bidding for artificial intelligence startup Perplexity AI, seeking to address the need for more AI talent and technology. Adrian Perica, the company's head of mergers and acquisitions, has weighed the idea with services chief Eddy Cue and top AI decision-makers, according to people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, said the people, who asked not to be identified because the matter is private.

Apple executives held internal talks about buying Perplexity, Bloomberg News reports

June 20 (Reuters) - Apple (AAPL.O), opens new tab executives have held internal talks about potentially bidding for artificial intelligence startup Perplexity, Bloomberg News reported on Friday, citing people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, the report said, adding that the tech behemoth's executives have not discussed a bid with Perplexity's management. Apple and Perplexity did not immediately respond to requests for comment. Reporting by Niket Nishant in Bengaluru; Editing by Maju Samuel Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Artificial Intelligence

Apple is reportedly considering the acquisition of Perplexity AI

Apple's executives are thinking of acquiring Perplexity AI both to get more talent and to be able to offer an AI-based search engine in the future, according to Bloomberg. Adrian Perica, Apple's head of mergers and acquisitions, has reportedly already talked about the idea with services SVP Eddy Cue and the company's top decision-makers with it comes to its AI efforts. It's early stages, however: Apple has yet to talk to Perplexity about a bid, and the internal talks may not even lead to a formal offer. The executives also reportedly discussed an alternative, wherein instead of buying Perplexity outright, it'll team up with the AI company instead. Either way, the idea is to develop an AI search engine powered by Perplexity and to integrate Perplexity's technology into Siri. While Apple has yet to make a formal offer, Bloomberg says it met several times with Perplexity over the past few months. In May, Cue revealed that Apple discussed a possible Safari-integration with Perplexity while on the stand for Google's ongoing Search antitrust case. Cue took the stand due to Apple's long-standing deal with Google to make its search engine the default on the iPhone. (In turn, Apple gets billions of dollars a year -- $18 billion in 2021 -- from the arrangement.) Cue didn't share any definitive plans, however, including the possibility of an acquisition. If regulators order Apple to end its partnership with Google, purchasing Perplexity would make it easier for the company to develop an AI-based search engine. In addition, it would allow the company to acquire talent needed to be able to catch up with other companies when it comes to artificial intelligence. Apple, like Meta, has been scouting for new AI talent. Bloomberg says it's even competing against the Facebook owner to hire Daniel Gross, the founder of AI company Safe Superintelligence Inc. The company does seem to need help to be able to release the AI features it wants to provide its users. A few months ago, for instance, Apple delayed the rollout of a more powerful Siri that was a key component of its original pitch for Apple Intelligence.

The $14 Billion AI Google Killer

Why Meta and Apple want Perplexity AI, even if it's just a glorified chatbot. A new AI darling is making waves in Silicon Valley. It’s called Perplexity, and according to reports, both Meta and Apple have quietly explored acquiring it. Valued at a staggering $14 billion following a May funding round, the startup is being hailed as a revolutionary threat to Google Search’s search dominance. But here’s the thing: it mostly just summarizes web results and sends you links. So why the frenzy? Perplexity billed itself an “answer engine.†You ask a question, and it uses large language models to spit out a human-sounding summary, complete with footnotes. It’s essentially ChatGPT with a bibliography. You might ask for the best books about the French Revolution or a breakdown of the Genius Act. In seconds, it generates a paragraph with links to Wikipedia, news outlets, or Reddit threads. Its pitch is a cleaner, ad-free, chatbot-driven search experience. No SEO junk, no scrolling. But critics say it’s little more than a glorified wrapper around Google and OpenAI’s APIs, with minimal proprietary tech and lots of smoke. It’s fast, clean, and slick. But, they argue, at its core, it’s mostly just reorganizing the internet. Big Tech’s Obsession That hasn’t stopped the hype. In May 2025, the San Francisco, California based company closed another $500 million funding round, pushing its valuation to $14 billion, a sharp increase from its $9 billion valuation in December 2024. Jeff Bezos, via the Jeff Bezos Family Fund, and Nvidia are among its notable backers And now, tech giants are circling. According to Bloomberg, Apple has held talks about acquiring Perplexity. Meta has also reportedly considered the move, though no formal offers have been confirmed. The logic is clear. Perplexity is fast-growing and increasingly seen as a “Google killer,†especially among tech influencers and X power users. Traffic to its site has exploded in recent months. The company now offers a Chrome extension, mobile app, and a Pro version that gives users access to top-tier AI models like GPT-4 and Claude. Still, it’s unclear what exactly makes Perplexity worth $14 billion, other than the fact that it’s riding the AI wave. Why AI Skeptics Are Rolling Their Eyes For AI skeptics, Perplexity’s rise is yet another example of hype outpacing substance. The site doesn’t train its own models. It’s not building new infrastructure. It’s not revolutionizing search. It’s just offering a polished interface to ask questions and get AI-generated summaries pulled from public websites. There are also growing concerns about how Perplexity sources its information. A number of news organizations, including The New York Times, Forbes, and Wired, have accused the company of plagiarizing and scraping content without permission or proper attribution. Journalists and publishers warn that this kind of AI-powered search experience threatens to cannibalize news traffic while giving little back to content creators. On June 20, the BBC became the latest outlet to threaten legal action against Perplexity AI, alleging that the company is using BBC content to train its "default AI model," according to the Financial Times. Perplexity CEO Aravind Srinivas has defended the company as an "aggregator of information.†In July 2024, the startup launched a revenue-sharing program to address the backlash. “We have always believed that we can build a system where the whole Internet wins,†Srinivas said at the time. So Why the Gold Rush? Simple. Search is money. Google earned $50.7 billion from search ads in the first quarter, a 9.8% increase year over year. If Perplexity can convince even a small share of users to switch, and then monetize that experience, it becomes a real threat. Apple and Meta, both increasingly wary of relying on Google, see Perplexity as a fast track into the AI search race. But the stakes go even deeper. Whoever controls the next search interface controls the user. Just as Google replaced Yahoo, Perplexity could theoretically replace Google. That’s why Big Tech wants in, even if it’s not entirely clear what they’re buying.

Report: Apple held internal talks about acquiring Perplexity - 9to5Mac

As Apple scrambles to play catch-up in the generative AI race, a new report says the company has considered making its biggest acquisition ever. According to Bloomberg, Apple executives have held internal discussions about a potential bid for Perplexity AI, the fast-growing AI startup known for its conversational web search platform. As reported by Mark Gurman, the talks are still at an early stage and may not result in an actual offer, but the idea has reportedly been floated between Apple's mergers and acquisitions lead Adrian Perica, services chief Eddy Cue, and top AI leadership inside the company. Perplexity recently closed a funding round that valued it at $14 billion, which would make its acquisition an unprecedented move for Apple, well above the $3 billion Beats deal in 2014. Here's Gurman on the possible acquisition: "Buying Perplexity would give Apple an infusion of AI talent, a known brand in the AI space and a consumer product. A deal could also potentially assist with future recruiting efforts." While the report says Apple has held multiple meetings with Perplexity in recent months, and its internal AI teams have been evaluating the technology closely, Apple declined to comment, and Perplexity said it has "no knowledge of any current or future M&A discussions". First, there's the looming threat of Apple's $20 billion-a-year search deal with Google being unwound following the US government's ongoing antitrust case. Eddy Cue himself hinted at this during his testimony earlier this year, as he claimed that the industry is pivoting away from traditional web search toward AI-driven answers. Second, Perplexity already has what Apple lacks: a consumer-facing AI search product with real-time web access and name recognition in the AI space, at a much lower (although still astronomical) price than direct competitors like, say, OpenAI. Perplexity even has its own iPhone assistant that, despite the system's intentional limitations, does way better than Siri and ChatGPT at multiple tasks. Which maybe is why beyond a full-blown acquisition, Apple is also said to be exploring a potential partnership, one that could see Perplexity integrated into Safari as a search option or baked into Siri responses. One big wrinkle: Samsung. The report says Samsung is close to finalizing its own major partnership with Perplexity, which could make any exclusive Apple deal more complicated. It is worth mentioning that Bloomberg reported earlier today that Meta has also held acquisition discussions with Perplexity, although it seems to have given up on the idea and moved on to its recent $14B investment in Scale AI instead. Do you think Apple should buy Perplexity? If not them, who do you think Apple should acquire? Let us know in the comments.

Apple looked at Mira Murati's AI startup, and won't stop there - 9to5Mac

Following a report last week about Apple holding internal talks over a potential Perplexity acquisition, Mark Gurman's latest Power On newsletter revealed that Apple also explored a possible deal with another notable name in the AI space: Mira Murati. Here's what went down. Murati, best known as OpenAI's former Chief Technology Officer, left the company last year following the boardroom chaos that briefly saw CEO Sam Altman ousted. In fact, as detailed in the book "The Optimist: Sam Altman, OpenAI, and the Race to Invent the Future", Murati and OpenAI co-founder and Chief Scientist Ilya Sutskever were key players behind the scenes in the surreal boardroom coup that briefly ousted Altman. Murati even spent a few hours as OpenAI's interim CEO before, in an ironic twist, threatening to quit unless Altman was reinstated. By that point, it was clear the coup had failed, and Murati, like others involved, backtracked in an effort to save both the company. And their own jobs. Less than a year later, Murati left OpenAI and founded a new AI startup called Thinking Machines Lab (by then, Ilya Sutskever had also left to found his own company, Safe SuperIntelligence). And now, according to Gurman, it appears Apple met with her earlier this year to discuss a potential acquisition. Murati's company is the perfect portrait of the current AI landscape: While it doesn't have a product yet, it has just closed the largest seed round ever for any company, with a $2 billion fundraise led by Andreessen Horowitz. That placed the company's valuation at a whopping US$10 billion. So far, what has been made public about Thinking Machine Labs is its purpose, which is to build "a future where everyone has access to the knowledge and tools to make AI work for their unique needs and goals." Here's an excerpt from their launch manifesto, which you can read in full on their website: "The scientific community's understanding of frontier AI systems lags behind rapidly advancing capabilities. Knowledge of how these systems are trained is concentrated within the top research labs, limiting both the public discourse on AI and people's abilities to use AI effectively. And, despite their potential, these systems remain difficult for people to customize to their specific needs and values. To bridge the gaps, we're building Thinking Machines Lab to make AI systems more widely understood, customizable and generally capable." As for Apple's interest in the company, unlike the ongoing internal evaluations around Perplexity, the conversations with Murati reportedly "never progressed". Here's Gurman: "Separately, Apple met earlier this year with Mira Murati -- the former chief technology officer of OpenAI -- to discuss a potential deal for her new AI startup, Thinking Machines Lab. The talks never progressed to an advanced stage." Still, I'll eat my hat if Apple is not talking to every other promising AI startup out there, equally filled to the brim with talented engineers, including Ilya Sutskever's Safe SuperIntelligence, or the French startup Mistral. To be perfectly honest, Perplexity seems like the worst cultural fit from the bunch, having had its share of drama and controversy about data collection. And while the company seems to be doing better now, and does offer a compelling product, it is also still involved in more legal problems than Apple would probably like to take over if it were to cut a check.

Apple Internally Discussing Whether to Bid to Acquire Perplexity AI

Apple executives have been discussing the possibility of the company making a bid to acquire Perplexity AI, according to Bloomberg's Mark Gurman. Perplexity is one of the leading AI startups that has proven popular as an AI-infused web search engine. Mergers and acquisitions chief Adrian Perica, services head Eddy Cue, and other executives overseeing Apple's AI efforts have been participating in the discussions, which Gurman says "are at an early stage and may not lead to an offer." Apple declined to comment, while Perplexity said that it has "no knowledge of any current or future M&A discussions involving Perplexity." Whether or not Apple makes a bid for Perplexity may hinge on the outcome of the ongoing Google antitrust trial, as Apple's deal with the search engine giant to make Google the default search engine on Apple devices and which brings Apple roughly $20 billion per year could be nullified as part of a ruling against Google. Perplexity's most recent funding round valued the company at $14 billion, so an outright acquisition by Apple would undoubtedly be by far the largest deal in the Cupertino company's history, topping its $3 billion purchase of Beats over a decade ago. As an alternative to an acquisition, Apple could instead choose to partner with Perplexity to add its AI search capabilities to Safari and Siri, and the two companies have met multiple times in recent months to discuss Perplexity's technology. Perplexity is, however, said to be close to a far-reaching deal with Samsung to bringing its AI features to the phones of Apple's biggest rival, a move that could complicate any potential deal with Apple.

Apple is reportedly considering buying Perplexity AI in iPhone maker's biggest-ever acquisition

Apple could be one step closer to its AI-powered search engine and smarter Siri Apple is reportedly considering its most ambitious acquisition yet: AI startup Perplexity, whose AI-driven search engine and chatbot are among the leading ChatGPT alternatives with around 15 million users. According to a new Bloomberg report this week, Apple's head of mergers and acquisitions, Adrian Perica, has been in talks with services SVP Eddy Cue and the company's top executives about a potential offer. Discussions are still in a very early stage, and Apple has yet to make a bid, but executives have met with Perplexity several times over the past few months, Bloomberg reports. Another possibility is a team-up with Perplexity, rather than an acquisition. The ultimate goal would be to integrate Perplexity's tech into an AI-based search engine or use it to make Siri smarter now that Apple's planned AI revamp for its assistant has been pushed into 2026. Similar to ChatGPT Search, Perplexity is a cross between a traditional search engine and an AI assistant. It uses large language models to comb the web to answer user queries in a conversational way, similar to interacting with a knowledgable assistant. It's also built with cross-platform accessibility in mind, so users can access its AI-powered search and assistant features on a wide range of devices. Acquiring Perplexity could be a strategic fallback for Apple if regulators force the company to end its partnership with Google. With Perplexity under its belt, Apple could accelerate the development of its own AI-powered search engine across the best iPhones, helping it close the gap with competitors like Google and Meta in the AI race. It couldn't come at a better time too. Bloomberg reported on Friday that Meta tried to scoop up Perplexity first earlier this year before moving ahead with Scale AI. At WWDC 2025, Apple was cagey about a concrete timeline for the full rollout of Apple Intelligence upgrades for Siri. It's quickly becoming clear that Apple need some outside help bringing its intended AI features to market, and Perplexity could fill that role. If a deal is reached, it'd be the largest in Apple's history. Perplexity is valued at around $14 billion, a figure that dwarfs Apple's most significant deal to date: buying Beats for $3 billion back in 2014.

Apple reportedly has a secret plan to quickly gain ground in the AI race

By acquiring the hyped startup Perplexity AI, Apple could plug gaps in its talent and tech. Most experts agree that Apple faces an uphill battle to compete in the AI race. The company's Apple Intelligence platform arrived late, and felt distinctly underbaked even then; Siri is a punchline and improvements to it keep being pushed back; and rivals are pushing forward with ever more impressive features. Apple would love to find a shortcut to success, and it may have found one. Sources report that the company is giving serious consideration to bidding for the startup Perplexity AI, which would allow it to transplant a chunk of expertise and ready-made technology into Apple Park and leapfrog many of the obstacles it currently faces. Perplexity runs an AI-powered search engine which can already perform the contextual tricks which Apple advertised ahead of the iPhone 16 launch but hasn't yet managed to build into Siri. For example, I ran the following three queries consecutively: For the second query, the search engine knew I was asking which Warhammer faction is best for painting, and for the third query, it knew I meant advanced painting and was referring to a phrase in its previous answer. These are simple logical steps, but Siri can't do this without resorting to ChatGPT. Apple would far prefer to have its own tech for such functions, and thus be able to control the user experience entirely. Cupertino executives are understood to have held internal discussions about the idea of buying Perplexity; Bloomberg reporter Mark Gurman specifically claims that M&A chief Adrian Perica has spoken about the matter with Eddy Cue and senior members of Apple's AI team, although he notes that "discussions are at an early stage and may not lead to an offer." Apple also hasn't yet spoken to anyone at Perplexity, which has issued a statement denying all knowledge. In the latest edition of his Power On newsletter, Gurman analyses the potential deal in greater detail. He notes that it would dwarf any previous Apple acquisition: its largest to date was Beats for $3 billion in 2014, whereas Perplexity was recently valued at $14 billion. Historically, Apple has been wary of large acquisitions, whereas rivals, such as Facebook (buying WhatsApp for $22 billion) and Google (acquiring cloud security platform Wiz for $32 billion), have spent big to scoop up companies. It could be a mark of how worried Apple is about the AI situation that it's considering such a major and out-of-character move. But after a year of headaches and obstacles, it also could pay off in a big way.

Those Apple AI rumors aren't all that Perplexing when you think Intelligently about it

I don't know if you're "in the know" like the Macalope but it seems to this antlered observer that Apple may have a bit of an AI problem on its hands. And it might be getting worse. Reuters reports that Apple is being sued by shareholders for allegedly overstating AI progress. Turns out shareholders don't like it when you talk up stuff and then don't deliver on it. Oopsies. Who knew? (Apple actually knew.) Now, shareholders sometimes also sue with no real chance of winning and there is a difference between saying things in a marketing context, such as an advertisement, in which you can make up all sorts of crap, and a financial context, like the company's quarterly investment calls with analysts in which you have to be much more careful about what you say. The investor suits claims: ...Apple led them to believe AI would be a key driver of iPhone 16 devices, when it launched Apple Intelligence to make Siri more powerful and user-friendly. Anyone who really believed that should not be allowed to operate a motor vehicle, let alone be a big-time money investor type person. How these people get a lot of money in the first place is beyond the Macalope. Unless it's by inheriting it in which case he completely gets it. But they said the Cupertino, California-based company lacked a functional prototype of AI-based Siri features... Welcome to Vaporgate, the lawsuit. Is Apple now grasping around for an easy way to put its AI problem behind it? Bloomberg's Mark Gurman says maybe: Apple Executives Have Held Internal Talks About Buying AI Startup Perplexity. Who among us hasn't gone shopping to try to cure feelings of inadequacy? Todd, you know what the Macalope's talking about. That 3D printer? The table saw? All those classic black and white Criterion Collection movies you never watch because you're too busy watching Cocaine Bear again? It's not a subtle commentary on social mores, Todd! It's about a bear that gets into some cocaine! Anyway, who could deny Apple trying to buy its way out of this situation? Well, Apple, possibly, as it appears this probably isn't really going to happen. The Macalope has had internal talks with himself about buying lots of things he never came close to buying. But also, Samsung, which Gurman says is trying to strike its own deal with Perplexity that would complicate any potential deal with Apple. There is some question as to where this information is coming from. Is Gurman getting this from sources inside Apple, or is coming from Perplexity, as Nick Heer suggests? Heer notes that Gurman's story didn't start this rumor; it was preceded by an analyst's call for Apple to buy Perplexity. Well, technically, the analyst said Apple "must" buy Perplexity, but that's just analyst talk for saying why Apple "should" or maybe even just "could" buy Perplexity. If you write a big-time Wall Street piece and it's not absolutely pants-on-fire about why Apple has to make its biggest acquisition ever right now or its existence will be retroactively wiped from the timeline, will anyone read it? Turns out no one knows because no analyst has ever done that. Several stories about Apple considering buying Perplexity later, it seems like it's maaaybe Perplexity itself calling around and saying, "We are a very hot property right now! Apple is in the mix! If you want to buy us, you'd better hurry! And also be willing to spend lots and lots of money. So hot right now. [beat] Please, we're begging you." Far be it from the Macalope to tell Tim Cook how to spend his money (cough), but trying to magically buy its way out of this situation smacks of the kind of thinking that got it into this situation in the first place. Any time analysts say Apple "must" do a thing, you can almost assuredly bet that it's the wrong thing to do. Like, just an example off the top of the Macalope's head, trying to rush an AI offering to market.

Apple is looking into buying Perplexity AI

Apple may have stayed quiet on the AI front during its WWDC 2025 keynote, but behind the scenes, the company is actively exploring new moves in the space. According to Bloomberg, Apple has held early internal discussions -- led by its head of mergers and acquisitions -- about a possible acquisition of Perplexity AI, the AI-powered search startup founded by Aravind Srinivas. While no formal offers have been made, top Apple executives have considered multiple scenarios involving the company. One option is a partnership that would integrate Perplexity's technology into iOS to power a native AI search experience. Another possibility is a full acquisition, which would allow Apple to integrate Perplexity's AI directly into Siri or a broader Apple-run search platform. The report also notes that acquiring Perplexity could give Apple a strategic fallback if its multibillion-dollar search deal with Google -- worth billions annually to keep Chrome the default search engine on iOS -- is forced to end by a court order. Regardless, the move would be a strategic win for Apple, which continues to trail behind rivals like Google and Meta in the AI race. At WWDC, Apple once again avoided giving any concrete timeline for the rollout of its much-hyped Apple Intelligence update for Siri. Rumors suggest the company is significantly behind schedule, with doubts growing about whether the revamped Siri will be ready by the end of the year.

Forget Apple Intelligence - here's why I think Apple's rumored Perplexity takeover could solve its AI woes

As June comes to a close and the impact of Apple's WWDC event starts to leave its mark, there's a lingering feeling surrounding Apple's AI approach. I've been using the iOS 26 developer beta on my iPhone for a couple of weeks now, and while it's still missing some of the upcoming Apple Intelligence features like Live Translation, it's clear (pun intended) that the primary focus of Apple's upcoming software updates is in the Liquid Glass redesign, not AI. Last week, top insider Mark Gurman reported that Apple execs had "held internal discussions about potentially bidding for artificial intelligence startup Perplexity AI." He followed up that report with an excellent edition of his Power On newsletter for Bloomberg that went into the nitty gritty of how Apple could afford to spend big bucks on an AI company, rather than rely on sorting out its internal turmoil to get the iPhone's AI up to speed. As a Perplexity Pro subscriber and someone who uses the AI search engine regularly, this got me thinking about how Apple acquiring the startup and implementing its capabilities into iOS, iPadOS, and macOS could completely turn its AI strategy around. Perplexity AI was one of the first companies to launch an AI search engine, and to this day provides one of the best user experiences when replacing traditional Google Search with AI. For nearly two decades, Apple and Google have had a partnership in place, solidifying Google as the default search engine for iPhone users. That could all be about to change, however, an antitrust lawsuit puts that in jeopardy, and as such, Apple might need to look at providing its own search solution. Suppose Google's antitrust suit does come into play. What better way for Apple to solve its massive search engine hole than to implement Perplexity, a product that not only provides a search solution but also addresses Apple's biggest AI woes. Apple has long been rumored to be working on an Apple-branded search engine, and yet nothing has ever materialized. Perplexity is a ready-made offering, with an incredibly smooth interface and user experience, that at this moment in time, provides one of the best consumer AI products on the market. Gurman estimates Apple has around $300 billion in cash at its disposal, and Perplexity, unlike some other AI products on the market like OpenAI's ChatGPT, would be available for a fraction of that chunk. Apple could, in theory, purchase Perplexity tomorrow and roll it out to users within just a couple of months, following a rebrand. This wouldn't be new territory for Apple either; the company has made similar acquisitions in the past, most notably when it purchased Dark Sky, the popular weather app, implementing some of its best features into the stock Weather app. Gurman, in his newsletter, emphasized four other reasons besides Google's antitrust lawsuit as to why buying Perplexity AI makes sense for Apple. Valued at around $14 billion, Gurman says Perplexity's reasonable valuation and ability to fill a clear need, Apple's lack of "strong search layer and conversational interface for everyday tasks" makes Perplexity a standout opportunity for a company like Apple, which is looking to make a mark on the AI landscape. He also claims that the 250-strong team would be the perfect size to incorporate into Cupertino, and like I said above, a consumer-ready product makes perfect sense for Apple at this moment in time. I've been using Perplexity connected to my iPhone 16 Pro's Action button for months now, and AI search has quickly become my go-to when it comes to finding out information. At the moment, Apple Intelligence's lack of improved Siri and a true functional chatbot completely undermines its AI capabilities, and no matter how good Apple's hardware is for AI, its lack of first-party prowess makes Apple Intelligence feel like an incredibly weak proposition. With murmurings of Apple looking to Perplexity, it now seems so obvious that an acquisition would seriously boost the Apple Intelligence moniker. Earlier this year, Eddy Cue, Apple's Senior Vice President of Services, spoke during Google's antitrust trial. He said, "We've been pretty impressed with what Perplexity has done, so we've started some discussions with them about what they're doing." Now, months later, there seems to be some more potential to these discussions, and while it might not excite you yet, I guarantee that if a deal were to come to fruition, it would massively increase the AI potential of the iPhone and Apple's other hero products.

Apple execs may be newly considering buying AI firm Perplexity

Perhaps in an acquihire to boost search, or to improve Siri, Apple executives have reportedly recently discussed buying or partnering with AI startup Perplexity. The two executives linked to discussions are said to be the company's head of mergers Adrian Perica, and Eddy Cue. According to unnamed sources within Apple, internal discussions are in a very early stage, and there has not yet been an offer made. Also a possibility is a team-up with Perplexity, rather than an outright buy. Any partnership would put Perplexity in Safari, and perhaps integrated into the long-delayed improved Siri project, that is now not expected to ship until 2026. The report on Friday by Bloomberg discusses that the move may get made to help Apple develop an AI-powered search engine. Google pays Apple about $20 billion a year to be the primary search engine on the iPhone and Mac, but that deal is in danger after antitrust and regulatory discussions. If a deal is reached to buy Perplexity, the deal would be the largest in Apple history, and not by a little. Perplexity is valued at about $14 billion. This far eclipses the deal that Apple made in 2014 for Beats, which cost the company $3 billion. The news may not come as a giant surprise, if you've been following the Google antitrust trial. On the stand, Cue was clear that they had talked at least some with Perplexity. "We've been pretty impressed with what Perplexity has done, so we've started some discussions with them about what they're doing," Cue said, while under oath. Beyond even that, the report isn't outside the realm of possibility. Previous rumors and Craig Federighi himself have said that Apple is looking at working with multiple partners to deliver an assortment of AI and search options for consumers. The main name tied to Apple's AI effort is obviously OpenAI. Before the Apple Intelligence rollout, Google and Meta were named as possible participants. Anthropic and Perplexity were also mentioned, at least in passing. To us, it seems more likely that Apple is dealing with AI providers the same way they handle hardware component suppliers. Having multiple providers on the hook, as it were, in this case may ultimately give users more choice, but will also keep costs down for Apple.

Apple's next big AI move might be buying Perplexity, signaling a shift in strategy

Apple's record with AI hasn't been that great. What started off strong with a partnership with OpenAI has yet to really produce much for the iPhone maker. The company introduced Apple Intelligence last year and said it was going to overhaul its digital assistant Siri by making it smarter and able to understand more tasks. Instead, the feature continues to be delayed, and AI was less of a focus for Apple at its big Worldwide Developers Conference, in contrast to Google's annual I/O show, where it was all about AI. It appears, however, Apple might do a workaround by buying one of the up-and-comers in AI, Perplexity AI. Bloomberg reports on internal talks among Apple executives to potentially bid on Perplexity AI. Adrian Perica, Apple's VP of corporate development, reportedly discussed the idea with Eddy Cue, SVP of Services at the company, as well as other AI decision makers. The report claims that these are early talks, and no offer has been made to Perplexity. Apple and Perplexity didn't immediately respond to a request for comment. Buying Perplexity and incorporating the company's AI search into Safari and other services would be a real boon for Apple. Last year, a Google antitrust lawsuit found that the company pays Apple approximately $20 billion to be the default search engine for Safari. Google Search, however, has been trending downward thanks to the rise of AI models such as OpenAI's ChatGPT, Google's own Gemini, and Perplexity. Data suggests users are moving away from searching for answers on Google and instead using AI to save time and get answers efficiently, rather than having to review multiple pages to find them. While iPhone users can find a workaround to have their own AI chatbot in the upcoming iOS 26, Apple still hasn't cracked the AI nut with Siri. Apple reportedly continued to hit one snag after another when developing the smarter Siri. The pitch was for the digital assistant to have a better understanding of natural language and do more complex tasks by making use of data on the phone, such as making a calendar appointment based on a text rather than having to be told to create that appointment. Apple's initial plan was to release the upgraded Siri in March, but that didn't happen. Instead, there was a leadership reshuffle within the company. Mike Rockwell, the creator of the Vision Pro for the company, ended up replacing John Giannandrea, who was in charge of the team handling the Siri upgrade. The upcoming release of iOS 26 will incorporate some AI features in the Phone app, such as AI-powered call screening to automatically silence scam calls and voicemail summaries. These AI features, however, are still far behind what Google is doing. During last month's I/O event, it laid out how Gemini will be integrated into its services, such as Gmail, Google Meet, and even be a key part of its future Android XR smart glasses.

Apple executives have held internal talks about buying AI startup Perplexity

Adrian Perica, the company's head of mergers and acquisitions, has weighed the idea with services chief Eddy Cue and top AI decision-makers, according to people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, said the people, who asked not to be identified because the matter is private. Such a deal would help Apple develop an AI-based search engine, part of efforts to cope with the potential loss of a longstanding arrangement with Google. That partnership, which involves making Google the default browser on devices, generates roughly $20 billion a year for Apple -- and is now under threat from US antitrust enforcers. To date, Apple executives haven't discussed a bid with Perplexity management. Bloomberg News reported earlier Friday that Meta Platforms Inc. tried to buy Perplexity earlier this year. "We have no knowledge of any current or future M&A discussions involving Perplexity," the AI startup said in a statement. Apple declined to comment. Read More: Meta Discussed Buying Perplexity Before Investing in Scale AI The Perplexity service provides real-time answers to questions using the latest information from the web. If Apple were to engage in talks to buy the startup, such a move likely wouldn't happen until a decision is made in the Google antitrust trial. That's when Apple would know whether its lucrative Google agreement may have to be unwound. Google shares reversed gains and fell nearly 1% in late trading after Bloomberg reported on Apple's Perplexity discussions. Perplexity recently completed an investment round that valued it at $14 billion. A deal anywhere near that level would be the largest acquisition in Apple's history. The company's biggest transaction until now remains the $3 billion takeover of Beats in 2014 -- though Apple made more recent billion-dollar deals for Intel Corp.'s modem unit and a stake in Chinese ride-sharing company DiDi. After Meta failed to reach an agreement with Perplexity, it bought a 49% slice of Scale AI for $14.3 billion. That deal is part of Meta's attempts to create a so-called superintelligence AI team, which will now include Scale co-founder Alexandr Wang. Apple and Meta have been waging a broader fight for talent. Meta recently engaged in discussions to hire Daniel Gross, the co-founder of AI company Safe Superintelligence Inc. While the discussions between Meta and Gross are advanced, Apple has attempted to persuade him to join it instead. In 2013, Gross sold a startup named Cue to Apple. That purchase helped form the basis of some early AI features in iOS, the operating system for the iPhone. And one of Gross' Cue co-founders, Robby Walker, oversaw the Siri voice assistant until this year. Walker is now leading an Apple project dubbed Knowledge with the goal of creating a rival to OpenAI's ChatGPT that can use data from the open web. Gross didn't immediately respond to a request for comment. Perica and Eddy Cue, who both report to Apple Chief Executive Officer Tim Cook, are leading the AI acquisition and recruiting efforts. The hunt for talent is part of a bid to catch up in generative AI. The company was slow to deliver its Apple Intelligence platform and still lags rivals in key features. A revamped Siri was delayed indefinitely this year, with the company now aiming to have it ready by next spring. Apple unveiled a relatively meager slate of new AI enhancements at its Worldwide Developers Conference earlier this month. The latest features include live translation capabilities and a deeper partnership with OpenAI on ChatGPT-based image generation. Buying Perplexity would give Apple an infusion of AI talent, a known brand in the AI space and a consumer product. A deal could also potentially assist with future recruiting efforts. Apple has also discussed an alternative plan: teaming up with Perplexity instead of buying it. A partnership would involve adding Perplexity as an AI search engine option in Apple's Safari web browser and integrating it into Siri. Apple has met multiple times in recent months with Perplexity, and its AI team has been actively evaluating the technology -- a sign that it's at least considering a close relationship with the company. One major snag in the process could be an in-the-works deal between Perplexity and Samsung Electronics Co., which plans to announce a deep partnership with the startup. Samsung is Apple's biggest competitor in smartphones, and AI features have become a critical new arena for the two rivals. In its statement, Perplexity said it shouldn't be surprising that top manufacturers want to offer the "best search and more accurate AI for their users." "That's Perplexity," the startup said. Read More: Samsung Nears Wide-Ranging Deal With Perplexity for AI Features Cue, whose department includes Apple's streaming services and iCloud, previously expressed an interest in Perplexity. While testifying at the Google antitrust trial in May, he told jurors that the industry is shifting away from standard internet searches to AI tools. He outlined a scenario in which AI search engines could quickly supersede Google's current offering. "We've been pretty impressed with what Perplexity has done, so we've started some discussions with them about what they're doing," he said.

Report: Apple has held internal discussions about acquiring Perplexity - SiliconANGLE

Apple Inc. executives have held discussions about buying Perplexity AI Inc., Bloomberg reported today. The publication cited sources as saying that the talks are in an early stage and may not lead to an acquisition. Perplexity reportedly received a $14 billion valuation in a recent funding round. To be accepted, any takeout offer made by Apple would likely have to be higher. San Francisco-based Perplexity operates a consumer-focused search engine powered by artificial intelligence models. Rather than returning a list of webpages in response to queries, the service generates a natural language response. It can also visualize stock price changes, analyze user-uploaded files and perform other tasks. Perplexity had more than 15 million monthly users last April, a number that has likely increased significantly since then. The company recently disclosed that it processed 780 million user requests in May. Moreover, the volume of queries that it receives is growing by 20% every month. Perplexity generates revenue by offering two paid editions of its search engine. The first, Perplexity Pro, gives users access to reasoning models from providers such as OpenAI. There's also an Enterprise Pro plan geared towards large organizations. Perplexity's other revenue source is its Sonar suite of application programming interfaces for developers. Using the APIs, software teams can embed the core features of the company's search engine into their custom applications. Adrian Perica, Apple's vice president of corporate development, has reportedly discussed the idea of buying Perplexity with a number of other executives. It's believed the search provider wasn't involved in the talks. However, Apple representatives did meet with Perplexity executives multiple times recently to discuss its technology. Today's report follows an unsuccessful attempt by Meta Platforms Inc. to acquire Perplexity. According to Bloomberg, the Facebook parent walked away from the deal over disagreements about financial terms. Meta later made a $14.3 billion investment in Scale AI Inc., a startup that supplies training datasets for AI development projects. It's believed that Apple could eventually decide to partner with Perplexity instead of buying it. Such an arrangement would likely cost significantly less. Additionally, it would have a lower chance of drawing scrutiny from antitrust regulators. The acquisition discussions come against the backdrop of a high-profile antitrust trial over Google LLC's search business. Currently, the Alphabet unit pays Apple billions of dollars annually to keep its search engine the default option on iOS. The lawsuit could potentially require the companies to end the payments. If that happens, Apple may be more inclined to partner with Google competitors such as Perplexity. Perplexity is not the only AI startup that has drawn takeover interest. According to CNBC, Meta recently tried to buy Safe Superintelligence Inc., a company co-founded by former OpenAI chief scientist Ilya Sutskever. After the offer was rebuffed, the Facebook parent reportedly shifted its focus to recruiting the startup's top executives.

Why Apple and Meta Are Ready to Throw Billions on This IIT Madras Graduate's AI Startup | AIM

AI talent is hard to find, and startups often bring together some of the best minds in the field. Something new is happening in tech. In addition to building their own AI models, companies are now racing to buy startups. Apple and Meta, among others, are looking to acquire promising young AI firms in a bid to stay ahead in what many are calling an "AI gold rush". Startups like Perplexity AI, Safe Superintelligence (SSI), and Thinking Machines Lab have suddenly become hot property, each now worth billions. Apple appears to be struggling with its AI strategy, a fact highlighted at the WWDC 2025 event, where Siri received no new updates. Moreover, instead of showcasing in-house developments, the company has been relying heavily on its partnership with OpenAI to stay relevant in the AI race. Apple is looking to acquire Perplexity AI, a startup founded by Aravind Srinivas, an IIT Madras graduate. Known for its AI-powered search engine and chatbot platform, Perplexity is currently valued at around $14 billion (approximately ₹1.21 lakh crore). According to the Bloomberg report, the tech giant is exploring an AI search engine for Safari as it prepares for the possible end of its long-standing deal with Google. The move would also counter Samsung's reported plans to integrate Perplexity AI into its Galaxy S26 series as the default assistant by 2026. However, Perplexity's leadership has downplayed the talks, stating they have "no knowledge of any current or future M&A discussions". This suggests that the deal remains purely speculative at this stage. Notably, Meta also considered acquiring Perplexity AI and Thinking Machine Labs before investing in Scale AI. These acquisitions are important for big tech companies in many ways, as they want to acquire their technology and talent. AI talent is hard to find, and startups often bring together some of the best minds in the field. Acquiring one helps companies build strong teams without starting from scratch. Notably, in a recent podcast, OpenAI CEO Sam Altman said that Meta is offering extremely high compensation packages to OpenAI employees, including signing bonuses of up to $100 million. Similarly, Anthropic is also engaged in a talent war with OpenAI and Google DeepMind. "Whereas one year ago the narrative was around pre-training compute requirements driving consolidation, today the narrative is all about talent advantages being critical in a world of increasing compute abundance," David Cahn, partner at Sequoia Capital, wrote in an article. Cahn added that Meta's decision to acquire a 49% stake in Scale and bring in CEO Alexandr Wang to lead their new "founder mode" AI lab is an even clearer move in this direction. According to him, breakthroughs in reinforcement learning or elsewhere will require talent. "With their obsessive focus on talent, the AI labs are increasingly looking like sports teams: They are each backed by a mega-rich tech company or individual. Star players can command pay packages in the tens of millions, hundreds of millions, or, for the most outlier talent, seemingly even billions of dollars," his article stated. However, he added that, unlike sports teams where players often have long-term contracts, AI employment agreements are short-term and liquid. This means anyone can be poached at any time. Both Apple and Meta have been facing setbacks in their AI strategies. Meta's latest model, Llama 4, didn't receive positive feedback from the developer community and was launched with a few complaints and controversies surrounding the benchmarks. While the company denied any wrongdoing, its public image was affected. The company also recently saw notable talent departures, with some joining French AI firm Mistral. Moreover, Meta reportedly made an acquisition offer for Safe Superintelligence (SSI), the AI startup co-founded by former OpenAI chief scientist Ilya Sutskever, which had reportedly been valued at around $32 billion during its fundraising efforts. However, the offer was declined. Nonetheless, Meta is trying to hire SSI co-founder Daniel Gross and former GitHub CEO Nat Friedman to strengthen its new AI division, which is headed by Wang. Meta has reorganised its AI efforts into two core divisions. The one headed by Connor Hayes focuses on integrating AI features into Facebook, Instagram, WhatsApp, and the Meta AI assistant. The other, which is called AGI Foundations, is led by Ahmad Al-Dahle and Amir Frenkel and is dedicated to core AI research, including work on the Llama models. Although the FAIR research lab, established by Meta chief AI scientist Yann LeCun and previously overseen by Joelle Pineau until she left in May, continues to operate independently, some of its teams have been moved into the new structure. Zuckerberg has never shied away from bold acquisitions. One of the most notable came in April 2012, when Facebook (now Meta) purchased Instagram for roughly $1 billion in cash and stock. The app, which had launched just two years earlier, had already attracted millions of users with its minimalist interface and iconic photo filters. On the other hand, historically, Apple's largest acquisition was Beats in 2014 for $3 billion. The Perplexity deal, if it happens, would be the biggest in Apple's history, reflecting the company's urgency to catch up on AI. The company was recently sued by shareholders in a class action, alleging it misrepresented how long it would take to upgrade Siri with advanced AI, a misstep they say dragged down iPhone sales and the stock price. Notably, Thinking Machines Lab and SSI have no products to show yet. Their high valuations stem primarily from the reputation and talent of their founders. The former reportedly closed a $2 billion seed round, valuing the six-month-old startup at $10 billion, according to the Financial Times. However, when Murati left OpenAI and founded Thinking Machine Labs, she brought around 20 OpenAI employees with her and later expanded the team to 60 by hiring from OpenAI and other AI labs. At the same time, SSI intends to scale AI differently, giving as much importance to safety research as to performance. Perplexity, while not building its own state-of-the-art models, has instead created a sophisticated orchestration of multiple LLMs, allowing users to choose based on their specific needs. OpenAI co-founder Andrej Karpathy even cited it as a prime example of multi-model architecture paired with human-in-the-loop verification The company has been actively rolling out new products. The latest is Comet, its agentic browser. It reimagines web browsing through context-aware intelligence. Comet personalises responses based on a user's browsing history and open tabs, all of which are stored locally, and not used for model training. It is now available on Windows with features like agentic search, shopping cart discounts, and email assistance. Besides, Perplexity offers finance-focused features, including a stock screener for filtering investments, earnings call transcript generation for publicly traded companies, comprehensive company profile creation, and a live dashboard displaying real-time stock data, market summaries, and upcoming earnings announcements. Last year, reports claimed that Meta is also planning to build its own search engine. This acquisition might be the answer to that. Startups now possess the talent and momentum that large tech companies require. Building from the ground up takes too long, and time is a luxury few can afford. Acquisitions are no longer optional; they are urgent. Perhaps, in the race for AI leadership, owning the correct startup can make all the difference.

Apple execs held internal talks about buying AI start-up Perplexity

Gift 5 articles to anyone you choose each month when you subscribe. Apple Inc. executives have held internal discussions about potentially bidding for artificial intelligence startup Perplexity AI, seeking to address the need for more AI talent and technology. Adrian Perica, the company's head of mergers and acquisitions, has weighed the idea with services chief Eddy Cue and top AI decision-makers, according to people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, said the people, who asked not to be identified because the matter is private.

Apple could buy Perplexity AI in landmark deal - Phandroid

Apple might be planning a big move in AI. According to sources, Apple is internally exploring a deal to acquire Perplexity AI, the rising startup behind one of the fastest-growing AI-powered search tools. If it happens, this Apple Perplexity AI deal could supercharge Siri and give Apple a stronger foothold in the AI race. Right now, Apple has a partnership with OpenAI to power parts of Apple Intelligence. There are also rumors it could work with Google to bring Gemini to iPhones. That means Apple may end up juggling two outside partners to make its AI ambitions work. Acquiring Perplexity could be a way to reduce that reliance and bring some of that intelligence in-house. Perplexity wouldn't replace Google Search in Safari. That deal is still worth billions to Apple each year. But owning Perplexity gives Apple something different. It could fold Perplexity's tech into Siri, Spotlight, or even future devices like its Vision Pro headset or AR glasses. Imagine asking Siri a question and getting a real-time, sourced answer instead of a useless one-liner. That's the kind of shift Apple might be aiming for. There's also a competitive angle. Samsung was reportedly eyeing Perplexity as well, possibly for its next Galaxy AI rollout. If Apple buys it first, that window closes. Nothing is confirmed yet. But if Apple wants to stop patching together its AI future from other companies' tools, Perplexity might be its way out.

Apple Could Consider Buying Perplexity to Strengthen Its AI Development

Meta reportedly tried to acquire Perplexity earlier this year Apple is reportedly considering making a bid to purchase the artificial intelligence (AI) startup Perplexity. As per the report, the Cupertino-based tech giant has internally discussed the possibility of the move to bolster its in-house development of AI models and features. The potential move comes at a time when the company's development of major features, such as the AI-powered Siri, has suffered several delays and still has no release date in sight. However, if the company does make a move to acquire Perplexity, it will be its costliest acquisition in history. According to a Bloomberg report, the iPhone maker has internally held discussions about making a bid to purchase Perplexity. Citing unnamed sources with knowledge of the matter, the publication claimed that the possibility of the move was being considered by Adrian Perica, Vice President of Corporate Development at Apple, and the head of mergers and acquisitions. The internal conversations are said to be at an early stage, and there is no guarantee that these will result in a formal bid. So far, the company has reportedly not reached out to the Perplexity management to inquire about an acquisition. Bloomberg claimed that if this deal takes place, it could help Apple develop an in-house AI-powered search engine and push forward its trailing AI development. Additionally, developing the search engine will also help the tech giant prepare in case the antitrust case results in an unfavourable verdict and it loses out on the $20 billion (roughly Rs. 1.7 lakh crore) deal. However, acquiring Perplexity will be a costly and unusual move for Apple. In its entire history, the tech has only ever made three deals that cost a billion dollar or more, a separate Bloomberg report claimed. Among them, the most expensive acquisition deal is said to be Beats. It was purchased for $3 billion (roughly Rs. 26,000 crore) in 2014. In contrast, after its latest funding round, Perplexity is valued at $14 billion (roughly Rs. 1.21 lakh crore). While the acquisition of Perplexity is reportedly just an idea Apple is toying with, it stands to reason that such a deal will bolster not only the company's existing AI suite, but can also transform its future devices.

Meta Discussed Buying Perplexity Before Investing in Scale

Meta Platforms held discussions with Artificial Intelligence (AI) search startup Perplexity AI Inc. about a possible takeover before moving ahead with a multibillion-dollar investment in Scale AI, according to people familiar with the matter. The two companies couldn't come to an agreement and decided not to pursue the deal, said the people, who asked not to be named as the details of the talks aren't public. The financial terms under discussion could not be learned. Perplexity recently closed a new round of funding at a $14 billion (roughly Rs. 1,21,438 crore) valuation. Meta also attempted to hire Perplexity Chief Executive Officer Aravind Srinivas to join the social media company's new "superintelligence" team, which is focused on building more powerful AI systems, the people said. The talks with Meta, which have not previously been reported, highlight Meta CEO Mark Zuckerberg's willingness to use deals and big hires to catch up in the AI race. The talks took place before Meta finalised a $14.3 billion (roughly Rs. 1,24,052 crore) investment in Scale AI that gives it a 49 percent stake in the data-labeling startup. Meta and Perplexity didn't respond to requests for comment. Founded in 2022, Perplexity has emerged as one of the most prominent startups using generative AI to rethink core internet services. Perplexity is taking on Alphabet Inc.'s Google by offering an AI tool that summarises search results, lists citations for its answers and helps users refine their queries to get the best responses. The startup is also developing an AI-powered web browser. Frustrated with the pace of Meta's AI development, Zuckerberg is making a concerted push to poach top AI talent from across the industry with lucrative pay packages. Meta has succeeded in hiring Scale AI's former CEO Alexandr Wang, as well as top researchers from Google DeepMind and Sesame AI Inc. Not everyone is jumping to join Meta, however. OpenAI CEO Sam Altman said in a podcast this week that some on his staff had been approached by Meta with offers of $100 million (roughly Rs. 867 crore) signing bonuses and even bigger compensation packages, but had declined to join the company. Meta has been in talks with former GitHub CEO Nat Friedman to recruit him to the new team, according to people familiar with the matter. The company has also been working on hiring Daniel Gross, the CEO of Safe Superintelligence, a research lab founded by former OpenAI chief scientist Ilya Sutskever, the person said. Meta has also held early discussions for a computing deal in which Safe Superintelligence would use Meta's data center infrastructure, the person said. Representatives for Safe Superintelligence did not immediately respond to request for comment. Other Big Tech firms, including Google and Amazon.com, have tried to establish themselves as the backbone of the AI ecosystem by providing chips and cloud computing resources to AI startups. Meta has not gone this route to date. © 2025 Bloomberg LP

Apple executives held internal talks about buying Perplexity: Report

Big tech companies are doubling down on investments to enhance AI capabilities and support growing demand for AI-powered services to maintain competitive leadership in the rapidly evolving tech landscape. Meta announced a $14.8 billion investment in Scale AI last week and hired Scale AI CEO Alexandr Wang to lead its new superintelligence unit.Apple executives have held internal talks about potentially bidding for artificial intelligence startup Perplexity, Bloomberg News reported on Friday, citing people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, the report said, adding that the tech behemoth's executives have not discussed a bid with Perplexity's management. "We have no knowledge of any current or future M&A discussions involving Perplexity," Perplexity said in response to a Reuters' request for comment. Apple did not immediately respond to a Reuters' request for comment. Big tech companies are doubling down on investments to enhance AI capabilities and support growing demand for AI-powered services to maintain competitive leadership in the rapidly evolving tech landscape. Bloomberg News also reported on Friday that Meta Platforms tried to buy Perplexity earlier this year. Meta announced a $14.8 billion investment in Scale AI last week and hired Scale AI CEO Alexandr Wang to lead its new superintelligence unit. Adrian Perica, Apple's head of mergers and acquisitions, has weighed the idea with services chief Eddy Cue and top AI decision-makers, as per the report. The iPhone maker reportedly plans to integrate AI-driven search capabilities - such as Perplexity AI - into its Safari browser, potentially moving away from its longstanding partnership with Alphabet's Google. Banning Google from paying companies to make it their default search engine is one of the remedies proposed by the U.S. Department of Justice to break up its dominance in online search. While traditional search engines such as Google still dominate global market share, AI-powered search options including Perplexity and ChatGPT are gaining prominence and seeing rising user adoption, especially among younger generations. Perplexity recently completed a funding round that valued it at $14 billion, Bloomberg News reported. A deal close to that would be Apple's largest acquisition so far. The Nvidia-backed startup provides AI search tools that deliver information summaries to users, similar to OpenAI's ChatGPT and Google's Gemini.

As race for AI startups heats up, Apple, Meta mull Perplexity acquisition

While Apple's internal discussions on potentially bidding for the AI startup are at an early stage, a Bloomberg News report said that Meta Platforms tried to buy Perplexity earlier this year. These actions are driven by the fact that while Google continues to dominate the search engine space globally, AI-powered alternatives like Perplexity and ChatGPT are gaining traction, particularly among younger users.To stay ahead in the artificial intelligence (AI) race, tech giants such as Apple and Meta are eyeing the acquisition of AI startups. Apple executives have held internal talks about potentially bidding for AI startup Perplexity, Bloomberg News reported on Friday, citing people with knowledge of the matter. The report added that discussions are at an early stage, and that the tech giants' executives are yet to approach Perplexity's management. "We have no knowledge of any current or future M&A discussions involving Perplexity," Perplexity said in response to a Reuters report. The report further added that Adrian Perica, Apple's head of mergers and acquisitions (M&A), has weighed the idea with services chief Eddy Cue and top AI decision-makers. The iPhone maker is reportedly exploring ways to integrate AI-driven search features, such as Perplexity AI, into its Safari browser, potentially moving away from its longstanding partnership with Alphabet's Google. While Google continues to dominate the search engine space globally, AI-powered alternatives like Perplexity and ChatGPT are gaining traction, particularly among younger users. Meanwhile, Bloomberg News also reported on Friday that Meta Platforms tried to buy Perplexity earlier this year. Last week, the Mark Zuckerberg-led company invested $14.2 billion in Scale AI and roped in its CEO, Alexandr Wang. Wang is set to take a leadership role at a newly established, 50-person research lab at Meta, tasked with creating artificial superintelligence (ASI) -- AI systems designed to surpass human intelligence. Also Read: From MIT dropout to AI billionaire: Who is Scale AI's Alexandr Wang? These developments come days after OpenAI CEO Sam Altman accused Zuckerberg of trying to poach OpenAI's talent, speaking at his brother's podcast, 'Uncapped'. Meta is said to be eyeing other startups as well, including Safe Superintelligence -- a $32 billion venture launched by former OpenAI chief scientist Ilya Sutskever just last year. Sources told CNBC that Meta approached Sutskever earlier this year with an offer to acquire the company, but he reportedly turned it down. Meanwhile, the United States Federal Trade Commission (FTC) has opened an antitrust case against Meta, accusing it of buying rivals to kill competition and build a social media monopoly. Two deals were at the centre of the case: Facebook's acquisition of Instagram for $1 billion in 2012 and WhatsApp for $19 billion in 2014.

Apple Might Be Looking to Buy Perplexity to Upgrade Apple Intelligence

Other tech giants like Meta are also considering making an offer to acquire Perplexity. Apple is having a tough time keeping up with the competition in the AI race. This could be why the company is planning to acquire Perplexity AI to help give Apple Intelligence the much-needed boost it desperately needs. This report comes from trusted Apple reporter Mark Gurman, who shared in the Bloomberg post that Apple's mergers and acquisitions lead, Adrian Perica, services chief Eddy Cue, and top AI leadership inside the company are in early talks to acquire Perplexity AI. Buying Perplexity will give Apple the AI talent and an outstanding product that they desperately need right now. Plus, it could bring some necessary improvements to Apple Intelligence features, especially Siri, which turned out to be a big disappointment last year. Perplexity recently closed its latest round of funding, where it was valued at $14 billion. If Apple does plan to acquire Perplexity, it could be its most expensive acquisition yet. Since they acquired Beats at $3 billion in 2013. Moreover, it could help Apple develop its AI search given its hardware dominance. Having used Perplexity's Assistant on an iPhone, I can say with confidence that Perplexity is far ahead in the game. So I don't think it would be a bad bet on Apple's part. But whatever Apple is planning, they must act fast. Other industry players like Meta are also eyeing the opportunity to acquire Perplexity, according to a report by The Verge. Perplexity can also give Apple a way out of its ongoing antitrust case for paying $20 billion yearly to Google to keep it as its default search in Safari. According to the report, Apple has held multiple meetings with the Perplexity team in recent months. However, both companies have denied any comment on the topic.

Apple Eyes Perplexity AI Acquisition While Facing Shareholder Lawsuit Over Exaggerated AI Progress: Report - Apple (NASDAQ:AAPL)

Apple Inc. AAPL executives have held internal discussions about potentially acquiring Perplexity AI. What Happened: Adrian Perica, Apple's head of M&A, floated the idea with senior leaders, including services chief Eddy Cue, reported Bloomberg, citing people familiar with the matter. The talks are still in early stages and to date, no direct outreach to Perplexity has occurred, said the report. Perplexity AI, responding to the publication, stated, "We have no knowledge of any current or future M&A discussions involving Perplexity." Apple did not immediately respond to Benzinga's request for comments. See Also: Jeff Bezos-Backed Anthropic Pushes For Stronger US AI Safeguards, Saying Autocracies Like China, Russia Could Use AI To Expand Their Power Why It's Important: On Friday, Apple was sued by shareholders who claim the company misled investors about how quickly advanced AI features -- especially improvements to Siri -- would be integrated, reported Reuters. The complaint, filed in San Francisco federal court, accuses Apple executives, including CEO Tim Cook, of downplaying delays in AI development, which allegedly impacted iPhone sales and stock value. Since peaking in December 2024, the company has seen a decline of nearly $900 billion in market value, the report noted. Price Action: Apple shares have fallen 17.57% since the beginning of the year and are down 3.13% over the past 12 months, according to Benzinga Pro. Benzinga's Edge Stock Rankings highlight a consistent downward trend for Apple across short, medium and long-term timeframes. Further performance details are available here. Read Next: Dow Jones Breaks 43,000, Palantir Hits New Record Highs: What's Driving Markets Wednesday? Photo courtesy: jamesteohart / Shutterstock.com AAPLApple Inc$201.292.40%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum23.56Growth32.66Quality76.91Value9.47Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs

Apple Executives Are Considering Acquiring Perplexity To Obtain An Advantage In The Generative AI Space, As Its Own Efforts Have Yet To Produce Meaningful Results

The struggles with generative AI forced Apple's own shareholder to file a lawsuit over delayed Siri features, indicating the company's current position in this specific area is considerably weak, as other firms such as OpenAI, Meta, Microsoft, and others continue to establish a convincing lead against its competitor. The Cupertino firm is now reportedly exploring different options, with Apple executives mulling the acquisition of Perplexity, a leading AI startup, to help fuel its growth in this space. A report from Bloomberg states that Apple's services head, Eddy Cue, along with mergers and acquisitions chief Adrian Perica, have been having discussions behind closed doors regarding Perplexity's acquisition, according to Mark Gurman. The talks are currently in their early stages, meaning that a possibility exists where these discussions may not mature. However, Perplexity has stated that it possesses "no knowledge of any current or future M&A discussions involving Perplexity." Assuming that Perplexity rejects any proposal, a team-up with Apple is highly possible, with Safari featuring an integration with the startup's AI-powered search engine. Extra features can also be paired with Siri, broadening its capabilities, and Apple is said to ship those additions sometime in 2026. One reason why these talks might have been initiated is that the lucrative deal between Google and Apple might end thanks to antitrust watchdogs. Where the advertising behemoth pays the California-based titan $20 billion annually to keep its search engine the default one, that amount could arrive to a zero, giving Apple sufficient motivation in pursuing an acquisition offer with Perplexity, but it is going to be expensive. Currently, Perplexity is valued at $14 billion, and if Apple were to offer the same amount, it would be the most expensive deal in its history, eclipsing the $3 billion amount paid to acquire Beats in 2014. According to AppleInsider, talks with Perplexity should not be a surprising move, because during Google's antitrust trial, Eddy Cue admitted that the company was in talks with Perplexity, with Apple seemingly impressed with what the AI firm has accomplished so far. Craig Federighi, Apple's Senior Vice President of software engineering, has also stated that the company is working with multiple partners to deliver an improved AI experience, hinting that we could witness some kind of partnership in the future.

Apple Considers Buying AI Startup Perplexity

With this acquisition, the big tech company plans to integrate Perplexity's AI search engine with its web browser Safari Apple is reportedly exploring a potential acquisition of Aravind Srinivas-cofounded Perplexity AI to boost its artificial intelligence capabilities. A Bloomberg report, citing people close to the matter, said that Apple executives have held internal talks about potentially bidding for Perplexity AI. Discussions remain at an early stage and the company has not engaged directly with Perplexity's executives. Adrian Perica, Apple's head of mergers and acquisitions, reportedly discussed the potential of integrating Perplexity's AI-driven search tools with Apple's services chief Eddy Cue and other AI leaders. However, Perplexity said that it has no knowledge of any current or future M&A discussions involving the startup. Meanwhile, Apple did not respond to Bloomberg's queries. If the Apple's buyout deal of Perplexity materialises, it would be one of its biggest acquisitions after Beat, which was bought for $3 Bn in 2014. Perplexity was valued at $14 Bn in its last funding round. With this acquisition, Apple plans to integrate Perplexity's AI search engine with its web browser Safari.

Apple Reportedly Mulling Perplexity Purchase to Bolster AI Offerings | PYMNTS.com

Sources told Bloomberg that Adrian Perica, the company's head of mergers and acquisitions (M&A), has discussed the idea with services chief Eddy Cue and key AI decision-makers. The talks are in their early stages and might not yield an offer, the sources added. "We have no knowledge of any current or future M&A discussions involving Perplexity," the AI startup told Bloomberg. PYMNTS has contacted Apple for comment but has not yet gotten a reply. Writing about Apple's AI efforts earlier this month, PYMNTS argued that the company's "restrained" approach contrasts with that of rivals such as Amazon, Google and Microsoft, "which are embracing large language models and enterprise-scale AI solutions in aggressive and sometimes experimental ways." "In the context of the broader AI economy, Apple risks strategic drift," PYMNTS wrote. "Most enterprise AI innovation is happening in the cloud, powered by APIs and platforms that allow fine-tuning, multimodal inputs and integration with vast datasets. Apple's refusal to enter this space leaves it reliant on consumer hardware cycles and developer goodwill -- both of which may wane as competitors offer richer, more adaptable platforms."

Apple internally weighs bid for ChatGPT rival Perplexity, Bloomberg says By Investing.com

Investing.com -- Apple Inc (NASDAQ:AAPL) has held internal discussions about acquiring Perplexity AI, a fast-growing artificial intelligence startup known for its advanced chatbot platform. The talks, reported by Bloomberg and involving senior executives including M&A chief Adrian Perica and services head Eddy Cue, are still at an early stage and may not result in a formal offer. The move underscores Apple's struggle to keep pace with rivals amid increasing pressure to integrate artificial intelligence across its hardware and software ecosystem. In particular, Apple has faced persistent delays in its efforts to upgrade Siri, leaving the voice assistant trailing competitors such as OpenAI's ChatGPT and Elon Musk's Grok. Perplexity, recently valued at $14 billion in a funding round, could significantly accelerate Apple's ambitions in AI-driven search and user interaction. The acquisition would also represent the largest in Apple's history, surpassing its previous deals in both scale and impact on the company's long-term strategy. Apple's interest in Perplexity also comes as it reassesses its relationship with Google (NASDAQ:GOOGL), whose search engine generates an estimated $20 billion a year for Apple as the default option on iPhones and other devices. That deal has come under regulatory scrutiny from U.S. antitrust authorities, fueling uncertainty around its future and prompting Apple to consider building its own AI-based search engine. According to Bloomberg, Apple has not yet contacted Perplexity's leadership about a potential takeover. Meanwhile, Meta Platforms (NASDAQ:META) reportedly attempted its own bid earlier this year but could not come to terms, instead pivoting to a $14.3 billion deal for a 49% stake in Scale AI as it builds a team focused on producing a "superintelligence." The AI market has become increasingly competitive as Big Tech firms vie for top talent and cutting-edge capabilities to stay ahead in the generative AI race. For Apple, generally conservative about large-scale acquisitions, a move on Perplexity would signal a strategic departure, highlighting the urgency of closing its AI gap.

Apple executives held internal talks about buying Perplexity, Bloomberg News reports

(Reuters) -Apple executives have held internal talks about potentially bidding for artificial intelligence startup Perplexity, Bloomberg News reported on Friday, citing people with knowledge of the matter. The discussions are at an early stage and may not lead to an offer, the report said, adding that the tech behemoth's executives have not discussed a bid with Perplexity's management. Apple and Perplexity did not immediately respond to Reuters' requests for comment. Big tech companies are doubling down investments to enhance AI capabilities and support growing demand for AI-powered services to maintain competitive leadership in the rapidly evolving tech landscape. Adrian Perica, Apple's head of mergers and acquisitions, has weighed the idea with services chief Eddy Cue and top AI decision-makers, as per the report. Bloomberg News reported earlier on Friday that Meta Platforms tried to buy Perplexity earlier this year. Meta announced a $14.8 billion investment in Scale AI last week and hired Scale AI CEO Alexandr Wang to lead its new superintelligence unit. (Reporting by Niket Nishant and Harshita Mary Varghese in Bengaluru; Editing by Maju Samuel)

Apple eyes Perplexity, explores AI deals with Mira Murati and other startups

Apple also held talks with Mira Murati, the former Chief Technology Officer of OpenAI, to discuss a deal for her new AI startup. Apple is exploring new opportunities in artificial intelligence (AI), and one of its top options is a possible deal with AI startup Perplexity. Apple executives have held internal discussions about acquiring the fast-growing AI company, according to Bloomberg's Mark Gurman. The talks are still at an early stage, and Apple hasn't made any official offer to Perplexity yet. Adrian Perica, Apple's head of mergers and acquisitions, has reportedly discussed the idea with services chief Eddy Cue and other senior AI leaders at the company. Also read: OpenAI removes mentions of Jony Ive's io after trademark suit, says deal still on Perplexity has currently been gaining attention in the AI space. If Apple moves forward with the deal, it could help the tech giant build its own AI-powered search engine. Cue earlier publicly showed his interest in Perplexity. "We've been pretty impressed with what Perplexity has done, so we've started some discussions with them about what they're doing," Cue said in his testimony at the Google antitrust trial earlier this year. Apple isn't the only company interested in Perplexity. Earlier this year, Meta (the parent company of Facebook and Instagram) also reportedly tried to buy the startup. Also read: Meta wanted to buy OpenAI co-founder's startup but settled for hiring its CEO: Report Alongside Perplexity, Apple has also shown interest in other AI startups. According to Gurman, Apple held talks with Mira Murati, the former Chief Technology Officer of OpenAI, earlier this year to discuss a deal for her new AI venture called Thinking Machines Lab. These potential deals show that the tech giant is getting serious about strengthening its AI technology and talent, as it faces more competition in the AI race from companies like Microsoft, Google and Meta. With iPhones and other Apple devices expected to include more AI features in the future, partnering with or buying more AI startups could help Apple stay ahead. Also read: Microsoft eyes more job cuts as it shifts focus to AI and data centers

Perplexity is the new OpenAI? Why both Meta and Apple want to buy it

Meta eyes Perplexity to bolster AI across Instagram, WhatsApp, and Facebook after its $14.3B Scale AI investment and Llama 4 feedback. In the growing world of artificial intelligence, Perplexity AI, a San Francisco-based startup, has caught the eyes of two big tech firms - Meta and Apple. Founded in 2022, the AI platform is becoming the OpenAI of search. While no deal has been confirmed yet, reports say both companies are exploring the possibility of acquiring Perplexity. For the unversed, unlike any other chatbot, Perplexity offers a conversational search engine that delivers clear, sourced answers in real-time without any endless scrolling, ad-stuffed results. Based on reports, the platform handles more than 780 million queries per month, with a staggering monthly growth of 20%. The platform has recently introduced Comet, an AI-powered browser assistant that helps users shop, summarise web pages, and manage emails. While most of the smartphone OEMs are talking about AI, it was notably absent from Apple's WWDC 2025 event. Siri, once a frontrunner in voice assistants, will reportedly get its next update in 2026. Additionally, Apple's multi-billion-dollar deal with Google, which will add Google Search as the default on Safari, is under legal scrutiny. Among all these, acquiring Perplexity seems to be a solution to all these issues and brings the tech giant back in the race of AI. It may help Apple to build its own AI-first search engine, possibly integrated directly into Safari or Siri. According to Bloomberg, senior Apple executives, including Eddy Cue and Adrian Perica, have discussed a potential bid, which, if successful, would be the biggest acquisition in Apple's history. Meta, on the other hand, is eyeing Perplexity to deepen its AI offerings across Facebook, Instagram, and WhatsApp. The company had already invested $14.3 billion in Scale AI and is rumoured to have approached Perplexity before that deal closed. With its Llama 4 model receiving mixed reviews and internal restructuring underway, Meta could be looking at fastening its process through a Perplexity acquisition. As big tech titans eye the AI platforms, it could be the next big boom after social media.

Perplexity AI unique features explained: Why Apple wants to buy it?

Let's face it: search engines haven't really changed in years. You type a question, get a flood of links, and spend the next five minutes hunting for what you actually need. But Perplexity AI is flipping that entire experience on its head and doing it so well that Apple reportedly wants to buy the whole thing. At its core, Perplexity doesn't just give you search results. It gives you answers. It talks like a person, thinks like a researcher, and works like an assistant who never sleeps. Here's what makes it feel like something truly new and why it's getting so much attention. Also read: Perplexity is the new OpenAI? Why both Meta and Apple want to buy it Perplexity doesn't behave like a search engine. You don't get a list of websites. You get a clear, conversational response that reads like someone explaining it to you in plain English. And it's not pulling those answers from a random database, it's looking things up on the web in real time, stitching together the best sources as you're asking. Need the latest on a breaking news story? It'll pull from the most recent articles. Curious about a complex topic like quantum computing or a legal case? It breaks it down in a way that feels human, not robotic. And it doesn't make you rephrase things ten different ways. You can ask follow-up questions like, "Wait, what does that mean?" or "Can you compare that to something else?" and it keeps the conversation going without losing the thread. It's the difference between searching and actually learning. One of the smartest things Perplexity does is also the most obvious: it tells you where it found its information. Every answer includes citations right next to the text, so you can see exactly which source supports each part. Also read: Meet Comet, Perplexity's new AI browser: How's it different? This might sound small, but in the world of AI, it's a big deal. A lot of chatbots just spit out confident-sounding answers without saying how they got there. That can be fine for trivia but not if you're making decisions, writing reports, or trying to get your facts straight. With Perplexity, you're not taking the AI's word for it. You're able to verify it yourself, or dive deeper if something sparks your curiosity. That's earned it a lot of trust, especially among students, researchers, and professionals who care about accuracy as much as speed. Perplexity also brings in something rare for AI tools: practicality. It doesn't just chat, it helps you work. You can upload a PDF, an image, a spreadsheet, and ask it to analyze or summarize it. It can pull out key points, spot trends, and even cross-reference it with live info from the internet. That's incredibly useful for people buried in documents, whether you're a lawyer, a scientist, or just trying to make sense of a messy report. It also gives you access to some of the best AI models available, GPT-4, Claude, LLaMA, so it adapts depending on what you need. Want help writing something creative? It picks a model good at that. Trying to decode a technical paper? It switches gears. And it does all of this without ads. That's right, no sponsored results, no junk at the top of the page. Just clean, focused answers that respect your time. Because Apple knows Siri isn't cutting it anymore. People want smarter tools that actually help them, across devices, in real time, with answers they can trust. Perplexity already does that. If Apple brings it into the fold, it could finally turn Siri into the intelligent assistant it was always supposed to be. In a world of noisy, cluttered, and often unreliable information, Perplexity feels like a breath of fresh air. It doesn't just change how we search, it changes how we think about getting answers in the first place. That's not just impressive. That's the future.