Introduction to Apple’s Potential Acquisition
Apple is considering acquiring Perplexity AI, a company that specializes in artificial intelligence-powered search engines. The discussions are still in the early stages, with Adrian Perica, Apple’s head of mergers and acquisitions, meeting with Eddy Cue, the company’s services chief, and other top AI decision-makers. If the acquisition goes through, it would be one of Apple’s biggest purchases since its $3 billion acquisition of Beats in 2014.
What is Perplexity AI?
Perplexity AI is a startup that was founded in 2022 by Aravind Srinivas, Denis Yarats, Johnny Ho, and Andy Konwinski. The company has developed an AI-powered search engine that allows users to ask follow-up questions and provides a conversational experience. Unlike traditional search engines, Perplexity’s search engine can provide more accurate and relevant results by understanding the context of the user’s query.
Why is Apple Interested in Perplexity AI?
Apple is interested in acquiring Perplexity AI to boost its artificial intelligence capabilities and integrate the company’s search engine into its web browser, Safari. This would allow Apple to reduce its dependence on Google, which is currently the default search engine for Safari. According to a report by Bloomberg, Apple has signed a $20 billion annual deal with Google, making it the default search engine for Safari. However, if Apple acquires Perplexity AI, it could potentially end this deal and reduce Google’s grip on the global search engine market.
Impact on Google and the Search Engine Market
If Apple acquires Perplexity AI, it could have significant implications for Google and the search engine market as a whole. Google has dominated the search engine market for decades, but the rise of AI-powered search engines like Perplexity and ChatGPT has started to challenge its position. If Apple integrates Perplexity’s search engine into Safari, it could lead to a decline in Google’s market share and revenue.
Perplexity AI’s India Playbook
Perplexity AI has already started to make inroads in India, with its founder Aravind Srinivas meeting with Prime Minister Narendra Modi to discuss the adoption of AI in the country. The company has also partnered with Paytm to integrate its AI-powered search engine into the fintech company’s app. Additionally, Srinivas has made the subscription to Perplexity AI’s Pro version free for students and faculty at his alma mater, IIT Madras, to promote the adoption of AI in India.
Conclusion
In conclusion, Apple’s potential acquisition of Perplexity AI is a significant development in the tech industry. If the acquisition goes through, it could have major implications for Google and the search engine market as a whole. Perplexity AI’s innovative approach to search engines and its potential to integrate with Safari could make it a major player in the market. As the discussions are still in the early stages, it remains to be seen whether the acquisition will materialize, but one thing is certain – the future of search engines is going to be shaped by artificial intelligence.
