When Perplexity AI raises fresh capital at an $18 billion valuation to compete directly with Google’s search dominance, we’re seeing how AI-powered search is reshaping one of tech’s most fundamental markets.
What is the news?
- Aravind Srinivas-led Perplexity AI has reportedly raised $100 million in fresh funding at an $18 billion valuation.
- The deal is an extension of a previous round from a few months ago that valued the company at $14 billion, highlighting continued investor appetite for top AI startups in Silicon Valley.
Why is it interesting?
- From $1 billion to $18 billion in under two years, Perplexity’s growth trajectory demonstrates how generative AI is creating new category leaders that can challenge big tech incumbents. Their AI-powered search engine directly competes with Google, showing how startups with breakthrough technology can target even the most established tech monopolies.
- The quick extension from $14 billion to $18 billion valuation underscores how investors are rushing to back leading AI startups. Perplexity has emerged as one of the most prominent companies using generative AI to rethink core internet services, proving that well-positioned AI companies can achieve unprecedented scaling speeds in today’s market.
Read more: AI startup Perplexity valued at $18 billion with new funding – CNBC TV18