Apple Reportedly Courting Perplexity AI in Strategic AI Bid

Apple Reportedly Courting Perplexity AI in Strategic AI Bid
Apple reportedly courting Perplexity AI in strategic AI bid

According to reports, Apple is thinking about putting in a bid to acquire Perplexity, an artificial intelligence (AI) startup.

The Cupertino-based tech conglomerate has reportedly talked internally about the potential move to support its internal development of AI models and services.

The possible transfer coincides with multiple delays in the company's development of key features, like the AI-powered Siri, which still has no anticipated release date.

But if the business decides to buy Perplexity, it will be the most expensive acquisition it has ever made.

Multiple Rounds of Discussion Between Apply and Perplexity AI

Apple's head of mergers and acquisitions, Adrian Perica, has reportedly led discussions with senior officials, including Services SVP Eddy Cue and other important decision-makers in charge of Apple's AI goal, according to a media outlet.

The business has met with Perplexity several times in recent months to discuss the possibility of a deal, but it has not yet made a formal offer and may decide not to proceed.

Perplexity AI, a rapidly expanding firm founded by Aravind Srinivas, combines conversational AI with real-time online search, perhaps serving as the basis for an Apple AI search engine.

Apple is weighing two options: either a strategic partnership that incorporates Perplexity's AI capabilities into Safari and other Apple services or a full acquisition that would incorporate Perplexity's technology and talent into Siri and iOS.

Apple Wants to Acquire More AI Talent

Apple is actively seeking AI expertise, which is why it is interested in Perplexity. According to reports, the business is vying with Meta for the services of industry leaders including Daniel Gross, the creator of Safe Superintelligence Inc. Due to development issues, Apple has postponed the release of its next-generation Siri.

During Google's antitrust trial, Eddy Cue recently testified that Apple had talked about integrating Perplexity with Safari. The multibillion-dollar deal between Apple and Google, which guarantees Google Search will continue to be the default on iPhones, was clarified by the testimony.

If regulators force a separation, that transaction, which was valued at $18 billion in 2021 alone, could be in jeopardy. In that case, purchasing Perplexity might give Apple a backup plan and enable it to develop its own artificial intelligence (AI) search engine.

These behind-the-scenes initiatives indicate Apple is actively looking for ways to catch up with competitors like Google, Microsoft, and Meta in the rapidly changing AI landscape, even if the company's WWDC 2025 keynote was rather silent on the subject.

A $14 billion financing round was just concluded by Perplexity. Any transaction that approaches that magnitude would constitute Apple's most significant acquisition to date.

Although Apple has recently made billion-dollar transactions for Intel Corp.'s modem unit and a stake in Chinese ride-sharing company DiDi, the $3 billion acquisition of Beats in 2014 remains the company's largest transaction to date.

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