Perplexity AI Launches Shopping Features, Challenging Traditional Search and E-commerce Giants

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On Tue, 19 Nov, 12:03 AM UTC

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Perplexity, an AI-powered search engine, introduces new shopping features for Pro users in the US, including 'Buy with Pro' and 'Snap to Shop', aiming to revolutionize product discovery and online purchasing.

Perplexity AI Introduces Innovative Shopping Features

Perplexity, the California-based AI-powered search engine, has launched new shopping features that aim to transform the online shopping experience. The company, which processes over 100 million queries weekly, is introducing 'Buy with Pro' and 'Snap to Shop' features for its Pro subscribers in the United States [1][2].

'Buy with Pro' and 'Snap to Shop': Revolutionizing E-commerce

The 'Buy with Pro' feature allows users to purchase products directly through Perplexity's platform after receiving AI-generated recommendations. This seamless process enables users to complete transactions without leaving the app, offering free shipping on all orders [3]. Meanwhile, 'Snap to Shop' functions similarly to Google Lens, allowing users to search for products by uploading images [4].

Unbiased Recommendations and Merchant Program

Perplexity emphasizes that its product recommendations are unbiased and not sponsored, distinguishing itself from traditional e-commerce platforms [4]. The company has also launched a Merchant Program, allowing retailers to share product information for free, potentially increasing their visibility and sales [3][5].

Competing with Tech Giants

These new features position Perplexity as a direct competitor to established players like Google, Amazon, and Walmart in the AI-powered shopping space [1]. The company's approach differs by offering direct purchasing through its search engine and focusing on removing ads and spam for a cleaner user experience [1][4].

Expansion and Future Plans

While currently limited to US Pro users, Perplexity plans to expand these features to other markets in the future [2]. The company is also reportedly preparing to raise funds at a $9 billion valuation, which would mark its fourth funding round this year [1][2].

Challenges and Controversies

Despite its innovative approach, Perplexity faces challenges, including legal battles over copyright and AI scraping issues with major publishers [1]. The company has previously signed revenue-sharing deals with some publishers to address plagiarism concerns [1].

Industry Impact and AI in E-commerce

Perplexity's move into e-commerce reflects a broader trend of AI integration in online shopping. Companies like Amazon, eBay, and Shopify are also leveraging AI to enhance product discovery and streamline transactions [3][4]. However, concerns remain about the accuracy and appropriateness of AI-generated recommendations in certain contexts [4].

Perplexity's Vision and Leadership

CEO Aravind Srinivas envisions Perplexity as a potential "AI app for India" and emphasizes the company's focus on providing substantial value despite not possessing its own foundational LLM [1]. The startup has garnered support from notable figures, including Amazon founder Jeff Bezos and NVIDIA CEO Jensen Huang [1].

As Perplexity continues to evolve from a research tool to a comprehensive AI-powered platform, its entry into e-commerce marks a significant step in challenging the status quo of online search and shopping experiences.

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