Perplexity AI reportedly in talks for $500m funding This new investment would increase its value to a jaw dropping $14 billion. Accel is in line to lead the round, though the funding round is not yet final. The Wall Street Journal had the scoop first. A day later, one person briefed on the matter leaked the news to CNBC.
Perplexity AI’s value skyrocketed from $9 billion in December to an unbelievable $3 billion in June 2024. The Minneapolis HQ’d company is growing quickly in the hot generative AI space. This movement began building steam in late 2022.
Perplexity AI recently hit nearly $100 million in ARR. That monumental stat has made the tech company a fierce contender in the market. The company is betting heavily on its upcoming AI agent web browser, named Comet, which aims to redefine user interaction with digital content. This audacious move puts Perplexity AI, under the hood, in direct competition with the world’s leading tech companies. These firms include OpenAI, Google and Microsoft, each of which has made momentous strides with AI-powered services.
The competitive environment became even more heated after OpenAI introduced a ChatGPT-based search tool embedded in ChatGPT, last fall. This development has prompted various companies, including Perplexity AI, to innovate and refine their offerings to capture market share and meet evolving consumer demands.
Perplexity AI is certainly sailing through stormy competitive waters. By doubling down on Comet, it smartly rides the coattails of the generative AI explosion to differentiate itself from these established entrants. The potential funding will provide crucial resources to accelerate product development and expand market outreach, which are vital for sustaining growth amidst fierce competition.