LATEST DEVELOPMENT
AI search startup Perplexity formally announces bid to acquire TikTok, promising to rebuild and open-source its recommendation algorithm if successful.
INDUSTRY TALK
"Perplexity is singularly positioned to rebuild the TikTok algorithm without creating a monopoly, combining world-class technical capabilities with Little Tech independence."
BY THE NUMBERS
Key context includes:
$30-50B estimated TikTok US valuation
$18B Perplexity valuation in reported funding talks
75 days in Trump's executive order delay (ending April 5)
14 hours TikTok went dark after Supreme Court ruling
2022 founding year of Perplexity
PROPOSED CHANGES
Acquisition plan includes:
Complete algorithm rebuild in US data centers
Open-source recommendation system
Nvidia Dynamo AI infrastructure upgrades
Citation capabilities for video content
Integrated search functionality
Multilingual automatic translation
COMPETITIVE LANDSCAPE
Other reported bidders include:
Oracle
Microsoft
Frank McCourt investor consortium
ByteDance (current owner) resisting sale
Multiple regulatory challenges pending
THE BOTTOM LINE
Given Perplexity's history of publicity stunts (including a Squid Game actor commercial, attempted F1 sponsorship, and mock CSO hiring), analysts question whether this TikTok acquisition bid represents a serious proposal or another attention-grabbing move.