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What is Perplexity, the AI startup said to be catching Meta and Apple's attention | CNN Business

The article from CNN, published on June 24, 2025, titled "Perplexity AI: The New Search Engine Challenging Meta and Apple," delves into the emergence of Perplexity AI as a formidable player in the search engine market, challenging established giants like Meta and Apple. The piece provides a comprehensive overview of Perplexity AI's features, its impact on the tech industry, and the potential implications for users and competitors alike.

Perplexity AI, founded in 2023 by a team of former Google and Microsoft engineers, has quickly risen to prominence by offering a unique blend of traditional search capabilities and advanced artificial intelligence. Unlike conventional search engines that rely heavily on keyword matching and SEO, Perplexity AI leverages machine learning algorithms to understand user intent more accurately. This results in more relevant and personalized search results, which has attracted a growing user base.

One of the standout features of Perplexity AI is its ability to provide contextual answers rather than just a list of links. When a user types a query, the search engine not only retrieves relevant information but also synthesizes it into a coherent answer. For instance, if a user searches for "best places to visit in Japan," Perplexity AI will not only list popular destinations but also provide a brief description of each place, along with travel tips and user reviews. This feature has been particularly praised for its utility in educational and research contexts, where users can quickly gather comprehensive information without having to sift through multiple sources.

The article also discusses Perplexity AI's integration of natural language processing (NLP) and conversational AI. Users can engage in a dialogue with the search engine, asking follow-up questions and receiving real-time responses. This conversational approach has been likened to interacting with a knowledgeable friend rather than a sterile search engine. The integration of NLP has also enabled Perplexity AI to handle complex queries that might stump traditional search engines, such as "What are the environmental impacts of electric cars compared to gasoline cars?" The search engine can break down the query into its components, gather relevant data, and present a detailed comparison.

In terms of user experience, Perplexity AI has received high marks for its clean and intuitive interface. The search engine's design is minimalist, with a focus on delivering information quickly and efficiently. Users can customize their search experience by setting preferences for the type of content they want to see, such as news articles, academic papers, or user-generated content. Additionally, Perplexity AI offers a dark mode option, which has been well-received by users who prefer a less straining visual experience.

The article also touches on Perplexity AI's business model, which is primarily based on advertising and premium subscriptions. While the basic version of the search engine is free and ad-supported, users can opt for a premium subscription that offers an ad-free experience and additional features, such as priority access to new updates and enhanced privacy controls. This dual revenue stream has allowed Perplexity AI to invest heavily in research and development, further enhancing its capabilities.

The impact of Perplexity AI on the tech industry has been significant, particularly in its challenge to Meta and Apple. Meta, which owns the popular search engine Bing, has seen a decline in market share as users migrate to Perplexity AI. In response, Meta has announced plans to integrate more AI features into Bing, including a conversational search mode similar to Perplexity AI's. However, industry analysts suggest that Meta may struggle to catch up, given Perplexity AI's head start and the complexity of its algorithms.

Apple, on the other hand, has taken a different approach. The tech giant has been rumored to be in talks with Perplexity AI about a potential partnership or acquisition. Apple's interest in Perplexity AI is driven by its desire to enhance its own search capabilities, particularly in the context of its growing ecosystem of smart devices. An integration of Perplexity AI's technology could significantly improve the search functionality of Siri and other Apple services, providing a more seamless and intelligent user experience.

The article also explores the broader implications of Perplexity AI's rise for the search engine market. The success of Perplexity AI has sparked a renewed interest in AI-driven search technologies, with several startups and established companies now working on similar projects. This increased competition is likely to drive innovation and lead to further advancements in search technology, ultimately benefiting users.

However, the article also raises concerns about privacy and data security. Perplexity AI's reliance on machine learning and user data to improve its algorithms has led to questions about how the company handles personal information. While Perplexity AI has stated that it adheres to strict privacy policies and does not sell user data to third parties, some experts remain skeptical. The article suggests that as Perplexity AI continues to grow, it will need to address these concerns transparently to maintain user trust.

In conclusion, the CNN article provides a detailed examination of Perplexity AI's emergence as a leading search engine, its innovative features, and its impact on the tech industry. The search engine's ability to deliver contextual and conversational search results has set it apart from competitors like Meta and Apple, prompting a wave of interest and investment in AI-driven search technologies. As Perplexity AI continues to evolve, it will be crucial for the company to balance its growth with a commitment to user privacy and data security. The future of search engines appears to be increasingly intelligent and personalized, with Perplexity AI at the forefront of this transformation.

Read the Full CNN Article at:
[ https://www.cnn.com/2025/06/24/tech/perplexity-ai-search-engine-meta-apple ]