Perplexity AI Raises $200M at $20B Valuation

Perplexity AI Secures $200 Million in Funding

Perplexity, an AI-driven search company challenging Google, has obtained $200 million in new funding. This latest investment values the startup at $20 billion, as reported by The Information.

Recent Funding Rounds

This capital injection follows a previous $100 million raise just two months prior, which established the company’s valuation at $18 billion, according to a July report from Bloomberg.

Since its inception three years ago, Perplexity has accumulated a total of $1.5 billion in funding, as indicated by PitchBook data. The lead investor for this most recent round remains currently undisclosed.

Revenue Growth

Sources indicate that Perplexity’s annual recurring revenue (ARR) is nearing $200 million. Previously, the company’s head of communication stated to Business Insider that ARR had already surpassed $150 million last month.

A request for official comment from Perplexity has not yet received a response.

Challenging Google's Search Dominance

This funding arrives as Perplexity actively seeks to disrupt Google’s established position in the search market. In August, the company publicly proposed acquiring Google’s Chrome browser for $34.5 billion.

This offer was prompted by a suggestion from the Justice Department. The Department proposed that Google divest its web browser as part of an antitrust case alleging anticompetitive practices.

Recent Court Ruling

However, a federal judge recently ruled against the Justice Department’s proposal. This decision allows Google to retain ownership of its Chrome browser and maintain its integrated search business.

Here's a summary of key points:

• Perplexity raised $200 million at a $20 billion valuation.
• Total funding to date is $1.5 billion.
• ARR is approaching $200 million.
• Perplexity offered to buy Google Chrome for $34.5 billion.
• A judge ruled Google does not have to break up its search business.