Perplexity AI, a rising star in the artificial intelligence world, has reached a staggering valuation of $18 billion after raising $100 million in its latest funding round. According to Bloomberg, major tech investors, including Nvidia and SoftBank’s Vision Fund 2, participated in the round, signaling continued enthusiasm for next-generation AI tools.
This funding follows a previous round just two months ago, which had pegged Perplexity AI’s valuation at $14 billion. The sharp increase highlights Silicon Valley’s hunger for disruptive innovation, especially in the field of AI-powered search.
Founded in 2022, Perplexity AI has quickly become one of the most talked-about companies using generative AI to reimagine online search and web interaction. Beyond its search engine, the company has recently introduced CoPilot, a premium browser assistant that can follow voice and text instructions to perform real-world tasks such as online shopping, summarizing social media feeds, and sending emails.
CEO Aravind Srinivas explained to the Financial Times that while AI models are already strong at understanding and summarizing content, the key challenge now is to provide them with the right context and a top-tier user experience.
Back in early 2024, the company was valued at around $500 million. In just a few short months, the Perplexity AI valuation has surged dramatically, driven by its expanding user base—now at over 30 million – as well as new revenue streams from advertising and e-commerce alongside its subscription model. Plans range from $20 per month for standard access to $200 for premium services.
The buzz surrounding Perplexity AI has even attracted acquisition offers. But Srinivas remains focused on taking the company public, rather than selling it off. For now, Perplexity is doubling down on innovation and growth.
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