AI Startup Perplexity Offers $34.5 Billion to Buy Chrome from Google

Perplexity AI made a bid worth $34.5 billion to acquire Google’s Chrome browser, marking one of the largest unsolicited offers in recent tech history, Reuters reported. This bid for Chrome comes at a critical time when regulatory pressure on Google continues to mount.

The Department of Justice has been pushing Google to divest Chrome as part of ongoing antitrust cases. Perplexity’s timing suggests the company sees an opportunity to capitalize on this regulatory pressure and potentially acquire one of the world’s most important digital assets.

Bold Acquisition Strategy

Perplexity’s acquisition offer to Chrome represents the company’s second major acquisition attempt this year. This is the second big offer the AI startup has made this year to buy a major asset, after a bid for TikTok in January.

The pattern shows Perplexity’s aggressive growth strategy under CEO Aravind Srinivas. The company appears willing to make headline-grabbing offers for transformative assets that could accelerate its competitive position in the AI search market.

Market Competition Intensifies

The $34.5 billion unsolicited offer comes after OpenAI, Yahoo and Apollo Global Management have also expressed interest in Chrome. Alphabet’s browser acquisition battle highlights how valuable Chrome has become as a strategic asset.

Chrome’s massive user base makes it incredibly attractive to companies competing in AI-powered search. The browser serves as a gateway to billions of users, providing unprecedented access to search queries and user behavior data that could fuel AI development.

Perplexity seeks browser control because Chrome represents more than just a web browser. The artificial intelligence search company’s $34.5 billion offer represents a surprise move by a Google Search challenger that’s looking to upend how people find information online.

Chrome’s integration with search functionality gives its owner significant advantages in the AI race. Control over the default search engine and user interface could help Perplexity compete more effectively against Google’s dominant search business.

Financial and Regulatory Implications

The bid is far above Perplexity’s own valuation (last valued at ~$14billion) as the startup reaches for the browser’s billions of users pivotal to the AI search race. This massive financial commitment demonstrates how seriously Perplexity views Chrome’s strategic importance.

The $34.5 billion offer values Chrome significantly, though some industry experts believe the browser could be worth even more. The high price reflects both Chrome’s current value and its potential future importance in the AI-driven internet.

The timing of this offer aligns with increasing regulatory scrutiny of Big Tech companies. Government antitrust actions have created potential opportunities for competitors to acquire previously unavailable assets.

Industry Response and Next Steps

The tech industry is closely watching how Google responds to this unsolicited offer. Perplexity AI made a $34.5 billion bid to buy Google’s Chrome browser, putting pressure on Google to consider all options amid regulatory challenges.

Whether Google accepts any offer for Chrome remains uncertain. The company has historically resisted breaking up its integrated ecosystem, but regulatory pressure might eventually force difficult decisions about asset sales.