However, the company faces significant challenges, most notably competition from tech giant Google. Previous attempts by other companies to compete with Google in the search engine market have largely failed. For instance, AI-powered search engine Neeva had to sell itself to Snowflake for $150 million after struggling to attract new users.
Key takeaways:
- Perplexity AI, a startup led by Aravind Srinivas, is aiming to create a new Google Search infused with generative AI.
- The company has raised $100 million, most recently from IVP, at a $520 million valuation.
- Perplexity's search engine offers concise answers, includes citations to back up its statements, and lacks an overly cutesy personality, unlike alternatives such as OpenAI’s ChatGPT, Google’s Bard and Microsoft’s Bing.
- Despite its strengths, Perplexity faces significant competition, notably from Google, and follows in the footsteps of other companies that have tried and failed to take on the search engine giant, such as Neeva.