Perplexity AI Challenges Google, Offers $34.5 Billion for Chrome
Beyond bold bids, Perplexity builds an AI answer engine and strategic partnerships, facing copyright scrutiny.
August 13, 2025

In a bold and audacious move that has sent ripples through the tech industry, AI search startup Perplexity has been employing a strategy of high-profile stunts to carve out a space for itself among giants like Google. The company’s unsolicited $34.5 billion cash offer to purchase Google's Chrome browser, a proposal made while the tech behemoth faces a potential forced sale due to antitrust rulings, is the most glaring example of this aggressive posturing.[1][2] This follows a similar headline-grabbing, though ultimately unsuccessful, proposal to merge with TikTok's U.S. operations in January.[2][3] While many analysts have dismissed these maneuvers as publicity stunts, they represent a calculated effort by the rapidly growing startup to challenge the established order and position its "answer engine" as a legitimate alternative in the evolving landscape of information access.[4][5]
Perplexity's bid for Chrome, though nearly double its own $18 billion valuation, was presented as a serious proposition backed by unnamed venture capital funds.[1][6] In a letter to Alphabet CEO Sundar Pichai, Perplexity framed the offer as a solution to Google's regulatory woes, suggesting the sale would place Chrome with a "capable, independent operator" and satisfy potential antitrust remedies.[1][7] The timing was impeccable, coming as a U.S. District Judge considers forcing Google to divest the world's most popular web browser, which holds a commanding market share and serves as a powerful gateway to search and user data.[1][4] Perplexity even pledged to invest $3 billion over two years into Chrome and its open-source foundation, Chromium, and promised to keep Google as the default search engine.[6][8] This move, whether a genuine attempt or a masterful piece of PR, succeeded in thrusting Perplexity into the center of a conversation about the future of web browsers and search, generating massive media attention and forcing the industry to take notice of the ambitious upstart.[8][5]
Beyond the grandstanding, Perplexity is building a substantial foundation aimed at disrupting the search market. The company, founded in 2022, has seen its valuation skyrocket, reaching $18 billion after a recent $100 million funding round, with prominent investors including Nvidia and Jeff Bezos.[9][10] Its user base is expanding rapidly, with the company reporting 22 million active users and processing hundreds of millions of queries monthly.[11][12] This growth is fueled by a product that offers a different user experience than traditional search engines. Perplexity functions as a conversational "answer engine," using large language models to provide direct, synthesized answers with citations, aiming to place users, not advertisers, at the center of the experience.[9][13] To further this goal, the company launched its own Chromium-based AI browser, Comet, which deeply integrates its search capabilities and introduces "agentic browsing" features that can automate tasks for users.[9][14]
The startup's growth strategy extends beyond audacious bids and into strategic partnerships designed to rapidly scale its user base. A significant collaboration with Deutsche Telekom aims to create an "AI Phone," embedding the Perplexity Assistant as a core feature.[15][16] This partnership will make the AI tool a central part of the user experience on new devices and available to millions of existing customers through Deutsche Telekom's app.[17][18] Similarly, a deal in India with telecom giant Airtel gives hundreds of millions of subscribers free access to Perplexity Pro, a move that has already led to a massive 640% year-over-year increase in active users in the country during the second quarter of 2025.[19][12] These partnerships are crucial for Perplexity, providing a distribution channel to compete with the pre-installed advantage of incumbents like Google.
However, Perplexity's aggressive tactics are not without significant controversy and risk. The company has faced a barrage of criticism and legal threats from major media organizations, including Forbes, the BBC, and The New York Times, over allegations of copyright infringement and unethical web scraping.[14][20][21] Publishers accuse the AI firm of plagiarizing their content and ignoring the Robots Exclusion Protocol, which instructs web crawlers on which parts of a site they should not access.[22][20] These concerns were amplified by a report from internet infrastructure company Cloudflare, which alleged that Perplexity uses "stealth crawling" techniques to bypass website blocks, changing its digital fingerprint to scrape content undetected.[23][24] Perplexity has largely dismissed these accusations, citing a misunderstanding of how its technology works and in some cases, calling the claims "manipulative and opportunistic."[22][21] These ongoing disputes over data sourcing and intellectual property represent a serious challenge to Perplexity's reputation and its operational model, which relies on accessing vast amounts of online information.
In conclusion, Perplexity AI is executing a high-stakes, multifaceted strategy to break into the top tier of the tech world. Its audacious offers for major assets like Google Chrome and TikTok US serve as powerful marketing tools, generating invaluable publicity and positioning the company as a fearless challenger to the status quo.[2][25] This is supported by a rapidly growing valuation, strategic partnerships that unlock massive user bases, and a core product that seeks to redefine the search experience.[15][19] Yet, the company walks a fine line, with its aggressive data acquisition methods drawing serious legal and ethical scrutiny that could undermine its long-term viability.[23][26] How Perplexity navigates these challenges while continuing its ambitious growth trajectory will not only determine its own fate but could also have profound implications for the future of AI, web search, and the digital information ecosystem.
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