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Apple in talks to acquire AI startup Perplexity in effort to boost capabilities

Apple in talks to acquire AI startup Perplexity in effort to boost capabilities

The artificial intelligence sector is abuzz again! Apple Inc. is reportedly in talks to acquire Perplexity AI, a fast-growing startup known for its advanced chat platform, a potential move that could significantly bolster the tech giant's AI ambitions.

According to Bloomberg, high-level talks are at an early stage, with the outcome still uncertain. Analysts view this potential acquisition as a sign of Apple's struggles to compete in the AI sector. The company's market position has weakened due to problems with integrating artificial intelligence into its hardware and software ecosystem. Recent persistent delays in upgrading Siri have left Apple's voice assistant lagging behind competitors like OpenAI's ChatGPT and Elon Musk's Grok.

A successful deal valued at an estimated $14 billion would mark Apple's largest acquisition ever, surpassing previous transactions in both scale and strategic importance. It could accelerate Apple's AI development and enhance user interactions across its ecosystem.

However, there are stumbling blocks along this path that Apple has encountered. The potential Perplexity purchase has drawn scrutiny from US antitrust regulators, creating uncertainty that may push Apple to consider developing its own AI-powered search system instead. Notably, Apple's leadership has not yet formally approached Perplexity about a potential acquisition.

The AI arms race continues to intensify as tech giants vie for top talent and cutting-edge capabilities. For typically acquisition-shy Apple, pursuing Perplexity signals a strategic shift aimed at closing its AI gap, a departure from its traditionally conservative approach to major deals.


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