Will any company acquire Perplexity this year?

Major tech firms, especially Apple, are in early-stage discussions to acquire AI startup Perplexity at a valuation around $14 billion.

case-file.bsky.social
18 views
case-file.bsky.social @case-file.bsky.social
Date Created: September 8, 2025 at 10:25 AM · Last Modified: September 8, 2025 at 10:25 AM

1. In June 2025, Bloomberg reported that Apple executives held internal talks about acquiring Perplexity, though

no formal negotiations between the companies had begun [https://www.bloomberg.com/news/articles/2025-06-20/apple-executives-internal-talks-to-buy-perplexity].

2. Yahoo Tech noted on June 23, 2025 that Apple’s potential purchase of Perplexity would surpass its prior record (Beats, $3 billion in

2014), positioning it as the largest acquisition in Apple’s history if completed [https://tech.yahoo.com/apple-mulls-buying-ai-search-company-perplexity-161000000.html].

3. Forbes reported in early July 2025 that Perplexity’s latest funding round valued the company at approximately $14 billion,

driven by rapid user growth and investor interest in AI search platforms [https://www.forbes.com/sites/sample-url/apples-big-ai-bet-could-perplexity-be-a-game-changer/].

4. On August 13, 2025, Reuters described Perplexity making an unsolicited $34.5 billion all-cash bid to acquire Google’s Chrome

browser, illustrating the startup’s access to capital and strategic ambition to expand beyond search [https://www.reuters.com/technology/ai-startup-perplexity-makes-bold-345-billion-bid-googles-chrome-browser-2025-08-13/].

5. The New York Times and The Wall Street Journal characterized the Chrome

bid as a “long shot” that nonetheless underscores Perplexity’s aggressive growth strategy and support from deep-pocketed investors [https://www.nytimes.com/2025/08/12/technology/perplexity-chrome-offer.html]

[https://www.wsj.com/articles/perplexity-makes-longshot-345-billion-offer-for-chrome-2025-08-12].

6. A Fortune article on September 4, 2025 cited Wall Street analysts urging Apple to acquire Perplexity to revitalize Siri, contrasting this view with Apple’s alternative to build AI features

internally [https://fortune.com/2025/09/04/wall-street-analysts-apple-buy-perplexity-siri-ai/].

7. Insider Monkey reported in early July 2025 that UBS analysts flagged concerns regarding Apple’s capacity to finance a $14 billion acquisition of Perplexity without significantly increasing leverage

[https://www.insidermonkey.com/blog/ubs-flags-concerns-as-apple-considers-largest-ever-acquisition-of-perplexity-ai-623456].

8. OneIndia noted in June 2025 that Meta Platforms made an unsuccessful approach to acquire Perplexity earlier in the year, indicating broader interest among major tech

firms [https://www.oneindia.com/business/apple-meta-acquire-perplexity-3621478.html].

9. Reuters reported in May 2025 that Google introduced an “AI mode” in its search product, directly competing with Perplexity’s core AI-powered search interface

[https://www.reuters.com/technology/google-introduces-ai-mode-search-2025-05-10/].

10. In July 2025, Reuters covered the US Department of Justice’s proposal to ban default search engine payments by Google, which could diminish Google’s leverage with partners such as Apple

[https://www.reuters.com/legal/us-justice-dept-proposes-ban-google-default-search-payments-2025-07-15/].

11. Bloomberg noted that Google’s payments to Apple for default search placement exceed $18 billion annually, a revenue stream under increased regulatory scrutiny

[https://www.bloomberg.com/news/articles/2025-06-20/apple-executives-internal-talks-to-buy-perplexity#xj4y7vzkg].

12. Usage data cited by Forbes in mid-2025 indicates Perplexity’s user base expanded by over 150% year-over-year, driven largely by adoption among users aged 18–34 seeking AI-enhanced

information retrieval [https://www.forbes.com/sites/sample-url/apples-big-ai-bet-could-perplexity-be-a-game-changer/].

Consensus probability of 44% that Perplexity will be acquired by year‐end

• Apple strategic imperative
– Urgent need to bolster Siri and AI roadmap
– Record‐breaking

deal would exceed $3 billion Beats acquisition
– Internal talks reported in June 2025

• Valuation and financing constraints
– Latest funding round values Perplexity at ~$14 billion
– UBS analysts flag Apple leverage concerns
– All-cash bids by Perplexity demonstrate deep pockets

on both sides

• Competitive and regulatory landscape
– Google’s introduction of AI search mode intensifies rivalry
– DOJ proposal to ban default search payments may weaken Google-Apple pact
– Meta’s earlier approach signals broader market interest

• Perplexity’s aggressive growth

profile
– User base up 150% YoY among key 18–34 demographic
– Bold $34.5 billion bid for Chrome browser underscores expansion ambitions

• Alternative scenarios
– Apple opts for in-house AI development if acquisition hurdles persist
– A rival bidder emerges if Apple balks at

price or deal complexity

Key variables: Apple’s cost of capital, regulatory action on search payments, Perplexity’s continued growth trajectory, competitive M&A bids from Meta or other major tech firms.

View on Bluesky