Perplexity AI Secures $200M Funding, Reaching $20B Valuation Amid Rapid Growth

Perplexity reportedly raised $200M at $20B valuation | TechCrunch

Perplexity, the AI-powered search startup that compete with Google by providing conversational answers to user queries, has secured $200 million in new capital at a $20 billion valuation, The Information reported. The fresh funding comes just two months after the company raised $100 million at an $18 billion valuation, according to Bloomberg's July report. Since its founding three years ago, the rapidly growing AI company has raised $1.5 billion in total funding, according to PitchBook data. It's unclear who led Perplexity's latest capital injection. Bloomberg reported that the July financing was an extension of a previous $500 million round completed earlier this year at a $14 billion valuation, which came just months earlier, a deal that was led by Accel. According to a source familiar with the company, Perplexity's annual recurring revenue (ARR) is approaching $200 million. Last month, Perplexity's head of communication told Business Insider that the company's ARR was more than $150 million. Perplexity didn't immediately respond to a request for comment. The funding comes as Perplexity positions itself as a challenger to Google's search dominance. In August, Perplexity offered to buy Google's Chrome browser for $34.5 billion. The offer came after the Justice Department, alleging that Google was acting anticompetitively, proposed that the company sell its web browser. However, earlier this month, a federal judge ruled that Google will not have to break up its search business, effectively allowing the search giant to keep Chrome.

Perplexity finalizes $20 billion valuation round, the Information reports

Sept 10 (Reuters) - AI startup Perplexity has secured commitments from investors for $200 million in new funding at a $20 billion valuation, the Information reported on Wednesday, citing a person with knowledge of the matter. Reuters could not immediately verify this report and Perplexity did not immediately respond to a request for comment. Run by Aravind Srinivas, Perplexity in August made a $34.5 billion unsolicited all-cash offer for Alphabet's (GOOGL.O), opens new tab Chrome browser, a bid far above its own valuation. The Nvidia-backed startup has an AI browser, Comet, that can perform certain tasks on a user's behalf. Buying Chrome would have allowed it to tap the browser's more than three billion users, giving it the heft to better compete with bigger rivals such as OpenAI, which is also working on its own AI browser. Reporting by Harshita Meenaktshi in Bengaluru; Editing by Alan Barona Our Standards: The Thomson Reuters Trust Principles., opens new tab

Perplexity finalises $20 billion valuation round: Report - The Economic Times

Run by Aravind Srinivas, Perplexity in August made a $34.5 billion unsolicited all-cash offer for Alphabet's Chrome browser, a bid far above its own valuation.AI startup Perplexity has secured commitments from investors for $200 million in new funding at a $20 billion valuation, the Information reported on Wednesday, citing a person with knowledge of the matter. Reuters could not immediately verify this report and Perplexity did not immediately respond to a request for comment. Run by Aravind Srinivas, Perplexity in August made a $34.5 billion unsolicited all-cash offer for Alphabet's Chrome browser, a bid far above its own valuation. The Nvidia-backed startup has an AI browser, Comet, that can perform certain tasks on a user's behalf. Buying Chrome would have allowed it to tap the browser's more than three billion users, giving it the heft to better compete with bigger rivals such as OpenAI, which is also working on its own AI browser.

Perplexity Valuation Hits $20 Billion Following New Funding Round | PYMNTS.com

That report noted that Perplexity has raised funds approximately once every two months in the last year, with its total funding exceeding $1 billion. Perplexity was valued at $14 billion following a funding round in March, with its valuation jumping to $18 billion after it raised another $100 million in July. This latest funding happened in the wake of Perplexity's bid last month to purchase Google's Chrome browser for $34.5 billion, a move that would have allowed its Comet browser to better compete with the likes of OpenAI. The company's offer came after the Justice Department proposed that Google sell Chrome as a remedy in its antitrust case. A federal judge recently ruled that Google did not need to break up its search business, meaning it will keep Chrome. The rise of AI-driven search tools like Perplexity's, or OpenAI's ChatGPT and Google's AI Overviews, has birthed the concept of generative engine optimization, or GEO. As PYMNTS wrote last week, this is the emerging discipline of making a brand remain visible in searches. "Businesses now face a two-front battle: keep their place in traditional search while ensuring AI systems recognize and cite them as authoritative answers," that report said. "Whether one calls it SEO, GEO, or simply good content, the playbook for staying visible is changing fast, and the cost of sitting out is invisibility." As companies watch their click-through rates decline, they have no choice but to embrace an era where AI offers up complete answers to user queries, the report added. "AI search isn't coming, it's already reshaping the web," Rich Pleeth, former Google marketing executive who is now co-founder and CEO of Finmile, said in an interview with PYMNTS. "Traditional SEO was about keywords and backlinks. But with AI search engines like ChatGPT and Gemini, discoverability is now about authority, clarity and context. It's not just about ranking, it's about being the answer." He added that this means online businesses must "rethink their entire content strategy: Speak like a human, show domain expertise, and design for machine readability."

Perplexity finalizes $20 billion valuation round, the Information reports

(Reuters) - AI startup Perplexity has secured commitments from investors for $200 million in new funding at a $20 billion valuation, the Information reported on Wednesday, citing a person with knowledge of the matter. Reuters could not immediately verify this report and Perplexity did not immediately respond to a request for comment. Run by Aravind Srinivas, Perplexity in August made a $34.5 billion unsolicited all-cash offer for Alphabet's Chrome browser, a bid far above its own valuation. The Nvidia-backed startup has an AI browser, Comet, that can perform certain tasks on a user's behalf. Buying Chrome would have allowed it to tap the browser's more than three billion users, giving it the heft to better compete with bigger rivals such as OpenAI, which is also working on its own AI browser. (Reporting by Harshita Meenaktshi in Bengaluru; Editing by Alan Barona)