Perplexity Seeks Investment in New Funding Round
Perplexity AI, a company that develops artificial intelligence- based search products , is in early talks with investors to raise funding that could value the company at about $9 billion, according to people familiar with the negotiations.
The Wall Street Journal reported that the company is seeking to raise more than $500 million in the new funding round, according to the source who preferred to remain anonymous due to the sensitivity of the information.
The new valuation could double the company’s $3 billion valuation in a funding round earlier this year. However, the talks are still in their early stages, and details could change or negotiations could stall.
Perplexity has seen significant growth in its market value in recent months, supported by strong investor interest in AI companies.
The company was valued at just $1 billion in April. By comparison, rivals like OpenAI have raised huge amounts of money, completing a recent $6.6 billion funding round at a $157 billion valuation earlier this month.
These negotiations were not the result of the company's previously prepared plans to raise funding, but rather came after investors took the initiative to contact the company, according to the source.
In addition to its free and paid versions of its search tool, Perplexity recently launched a tool that allows organizations to search their internal files alongside the Internet simultaneously.
The company has added new features to its financial market searches, such as stock quotes and corporate earnings data, and has struck a number of revenue-sharing partnerships with major publishers.
Investors in the company include SoftBank's Vision Fund 2, Amazon founder Jeff Bezos, and Nvidia.