Perplexity AI Nears $14B Valuation in $500M Funding Talks

Perplexity AI, an Nvidia-backed startup developing an AI search engine to rival Google, is in advanced talks to raise $500 million in a funding round that would value the company at $14 billion, significantly up from its previous $9 billion valuation. The venture capital firm Accel is expected to lead this round, which reflects heightened investor enthusiasm for AI technologies following the rise of OpenAI's ChatGPT. Earlier reports indicated Perplexity sought as much as $1 billion at an $18 billion valuation, but the current discussions suggest a lower target. Perplexity's AI tools provide summarized search results rather than traditional blue-link lists, positioning the startup as a potential challenger to Google's dominance in online search. The funding round and valuation hike underscore the rapid growth and strong market interest in AI-driven search solutions. Additionally, Apple reportedly plans to integrate AI search providers like Perplexity into its Safari browser, potentially expanding the startup's user base.