Apple Inc. is reportedly in preliminary discussions regarding the potential acquisition of Perplexity AI, an artificial intelligence-powered search engine that has gained notable attention in the technology sector over the past year, according to sources familiar with the matter.
Status of Acquisition Talks
People with knowledge of the discussions, including Bloomberg’s Mark Gurman, indicate that Apple’s mergers and acquisitions team, along with executives from its artificial intelligence division, are evaluating the possibility of a deal. However, these conversations remain in early stages, and no formal agreement has been reached.
When contacted for comment, a Perplexity AI spokesperson stated that the company has “no knowledge of any current or future discussions” regarding an acquisition by Apple.
Challenges and Considerations
Should Apple proceed with an acquisition, several significant factors would need to be addressed:
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Valuation and Financial Implications
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Perplexity AI is currently valued at approximately $14 billion, which would make this Apple’s largest acquisition to date if finalized.
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Apple’s most expensive purchase so far was its $3 billion deal for Beats Electronics in 2014.
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Competing Negotiations
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Perplexity AI is already engaged in advanced discussions with Samsung to integrate its AI search capabilities into Samsung’s ecosystem.
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Any exclusivity agreements with Samsung could complicate a potential deal with Apple.
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Regulatory and Strategic Fit
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Given increasing regulatory scrutiny of Big Tech acquisitions, Apple would need to justify how Perplexity AI aligns with its long-term AI strategy.
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Apple has been investing heavily in AI, particularly with enhancements to Siri and on-device processing, but it lags behind competitors like Google and OpenAI in web-based search AI.
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Why Perplexity AI?
Perplexity AI has distinguished itself with:
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Real-time web search with cited sources, unlike traditional chatbots.
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Minimal advertising, positioning itself as a privacy-conscious alternative.
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Growing user adoption, particularly among researchers and professionals.
Analysts suggest that Apple may view Perplexity as a way to:
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Enhance Siri’s capabilities with more accurate, web-based responses.
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Compete with Google Search, especially as Apple explores alternatives to its default search deal with Google.
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Strengthen its AI ecosystem ahead of anticipated iOS 18 AI features.
Industry Reactions and Skepticism
While the rumor has sparked speculation, some analysts remain cautious:
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“Apple rarely makes large acquisitions, preferring to build in-house,” said TechInsights analyst Marina Flores.
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“A $14 billion deal would be uncharacteristic unless Apple sees Perplexity as a must-have asset,” added Bernstein’s Mark Li.
What Happens Next?
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If talks progress, due diligence and regulatory assessments would follow.
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Apple may opt for a partnership or licensing deal rather than a full acquisition.
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Perplexity’s existing Samsung negotiations could influence the outcome.
RoundUp
While discussions between Apple and Perplexity AI remain unconfirmed and in early stages, the potential acquisition highlights Apple’s growing focus on AI innovation. However, given financial, competitive, and regulatory hurdles, no deal is guaranteed. Further developments are expected in the coming months as both companies assess their strategic options.
