Why Apple and Meta want to Acquire Perplexity AI
The rising interest from Apple and Meta in acquiring Perplexity AI signals a critical moment in the evolving AI landscape. This small but fast-growing company appears to hold answers both giants are urgently seeking. But what makes Perplexity so attractive and why now?
A Startup Turning Heads in Search and AI
Founded in 2022, Perplexity AI quickly gained traction by offering a conversational AI-powered search experience. Unlike traditional engines, its product allows users to interact naturally with questions and receive responses that include verified sources. This approach has not only challenged existing norms in search but has also positioned Perplexity as a rising threat to Google’s dominance.
Despite a rocky start—early critics labeled it a mere “AI wrapper” the startup matured rapidly. Users now value its flexible access to multiple language models and its proprietary LLM, Sonar. It’s also multimodal, supporting not just text, but voice and image-based queries. These innovations explain how the company grew to approximately 15 million users by mid-2024.
While public trust in Google’s search results has eroded due to spam and low-quality content, Perplexity presents an alternative. As consumer behavior shifts, many have started relying more on platforms like Reddit or Perplexity for information. Furthermore, Perplexity’s transparent linking system and sleek design make it a better fit for iOS, which might explain Apple’s increasing interest.
Apple’s Strategic Pivot: Filling a Gap in AI
Apple’s AI efforts, particularly around Siri and Apple Intelligence, have lagged behind competitors. Though it pioneered voice assistants in the early 2010s, its latest WWDC barely touched on AI. That underwhelming showing has raised concerns, especially given that Apple is typically cautious about acquisitions and prefers in-house development.
However, Apple’s current AI approach focuses on combining its models with those from partners like OpenAI. That collaboration model could benefit from integrating Perplexity’s flexible, modular architecture. It would allow Apple to enhance its search capabilities and perhaps even create a standalone AI search engine reducing its dependency on Google, which pays Apple billions annually to remain the iPhone’s default search engine.
Adding to this motivation is Apple’s emphasis on user privacy. With Perplexity’s transparent search and user-friendly interface, Apple might see a like-minded partner. Yet, Apple also faces hurdles: any acquisition of this size would invite regulatory scrutiny, especially given existing concerns over its App Store dominance.
Although a deal hasn’t been confirmed, Apple’s quiet talks with Perplexity discussed during Google’s antitrust trial reveal just how seriously Cupertino is considering its options. Whether it’s seeking better AI integration, independence from Google, or a stronger foothold in next-gen search, Perplexity could be central to that evolution.
Meta’s Urgency: Catching Up in the AI Race
Meta, unlike Apple, has been aggressive with acquisitions. From Instagram to WhatsApp, the company has repeatedly shown a willingness to buy its way to the top. Now, facing fierce competition from OpenAI and Google, CEO Mark Zuckerberg is under pressure to deliver a meaningful AI breakthrough.
Meta’s AI assistant already serves over a billion users across its apps. But to compete with state-of-the-art offerings, Meta needs stronger underlying models. Its current Llama 4 models haven’t been well received, and the company’s delays in releasing larger, more powerful models suggest it’s trailing its rivals.
That lag may explain why Meta is eyeing Perplexity. Acquiring it would offer immediate improvements to Meta’s AI assistant making it more conversational, intelligent, and appealing to everyday users. Perplexity’s real-time search features and interface would also be valuable additions across Meta’s platforms, from Facebook to smart glasses.
Additionally, Meta recently invested $14.3 billion in Scale AI and has reportedly attempted to recruit top developers from OpenAI, offering massive signing bonuses. These actions highlight how urgent the situation is for Meta. Unlike Apple, which takes its time and follows a long-term vision, Meta needs results quickly and sees Perplexity as a shortcut to better AI performance.
In this escalating battle for AI dominance, both Apple and Meta have compelling reasons to acquire Perplexity AI. The startup may still be small compared to the giants circling it, but its technology and talent could shape the next phase of the AI race.
