Apple in Early Talks to Acquire Perplexity AI for Reported $14 Billion

Apple is reportedly in the early stages of exploring an acquisition of Perplexity AI, a fast-growing artificial intelligence startup valued at around $14 billion. According to Bloomberg, Apple executives have discussed the possibility internally, though no formal offer has been made and Perplexity’s leadership has not been approached.

The talks, first surfaced in Bloomberg and confirmed by Reuters and Apple Insider, suggest Apple is evaluating Perplexity as a strategic asset to expand its AI-powered search capabilities—potentially reducing reliance on Google and enhancing long-term projects like Siri and Safari.

In a statement to Reuters, Perplexity said, “We have no knowledge of any current or future M&A discussions involving Perplexity.” Apple has declined to comment.

Strategic Motivations Behind Apple’s Interest

Sources say the internal discussions have involved Adrian Perica, Apple’s head of mergers and acquisitions, and Eddy Cue, Apple’s services chief. While still early, the prospect of acquiring Perplexity reflects Apple’s broader shift toward building its own AI search infrastructure.

Currently, Apple receives an estimated $20 billion annually from Google to keep Google as the default search engine across Apple devices—a relationship now under intense scrutiny in a U.S. Department of Justice antitrust case. Acquiring Perplexity could position Apple to offer its own integrated search solution.

In testimony during the trial, Cue acknowledged conversations with Perplexity:

“We’ve been pretty impressed with what Perplexity has done, so we’ve started some discussions with them about what they’re doing,” he said.

Although acquisition is reportedly the main focus, a strategic partnership—such as embedding Perplexity into Safari or future Siri upgrades—is also being considered, according to Apple Insider.

Some observers suggest that Apple may be exploring deals with multiple AI providers—not unlike how it approaches hardware suppliers. Partnering with several AI providers could give users a wider range of tools, while helping Apple avoid overreliance on any one company—and potentially keeping costs more manageable.

Perplexity’s Growing Appeal

Perplexity AI has emerged as a leading alternative to traditional search engines, especially among younger users. Its interface delivers real-time, citation-backed answers in a conversational format, similar to OpenAI’s ChatGPT and Google’s Gemini. The startup is backed by high-profile investors, including Nvidia, and recently closed a funding round at a $14 billion valuation.

Bloomberg also reported that Meta attempted to acquire Perplexity earlier this year, underscoring the competitive interest in the startup’s technology and team.

If Apple were to proceed with a deal at that valuation, it would mark the largest acquisition in the company’s history—far exceeding the $3 billion it paid for Beats in 2014.

What This Means

Apple’s interest in Perplexity signals a serious move toward reshaping how users search for information across its ecosystem. Rather than continuing to rely on external providers like Google, Apple appears to be weighing whether to bring cutting-edge AI search in-house.

The potential $14 billion deal would not only mark a historic acquisition, but also reflect Apple’s intent to control more of the AI experience—especially as it prepares to overhaul Siri and expand its personalized “Apple Intelligence” strategy.

Whether or not the deal goes through, the interest itself points to Apple’s evolving role in the AI race—and raises the stakes for the future of AI-powered search.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.