Perplexity bids more than its worth to acquire Google Chrome
AI startup Perplexity has made an unsolicited all-cash takeover offer of Google’s Chrome internet browser for $34.5 billion.
The amount offered is higher than the startup’s current valuation, however, it has been reported that several investors have agreed to back the deal. In July 2025, Perplexity saw a new valuation of $18 billion, following a $14 billion valuation some months before.
The proposal includes a pledge to keep Chrome’s core engine, Chromium, open source and to continue funding its development. As part of the deal, Perplexity’s plan includes an investment of $3 billion into the open source project.
The company is also committing not to alter Chrome users’ default settings, including the preset search engine. In other words, Perplexity is agreeing to retain Google as the default search provider rather than replacing it with its own AI-driven alternative.
The startup was founded in 2022 by Aravind Srinivas, Denis Yarats, Johnny Ho, and Andy Konwinski. Perplexity has built its reputation on an AI-powered search engine designed to deliver straightforward answers to user queries, while linking directly to original web sources. Last month, it launched its own AI-enabled browser, Comet.
Earlier this year, Perplexity was approached by Meta about the possibility of an acquisition, however, no agreement was reached.
The startup is competing for position in the generative AI space, where companies like Meta and OpenAI are offering high salaries and signing bonuses to attract top engineers. The industry is becoming increasingly competitive, with huge funding rounds, mergers and acquisitions, and a fight for relevance. Major tech firms are spending tens of billions each year on AI infrastructure to develop LLMs and manage heavy computational workloads. At the same time, startups are securing billions in funding from venture capital firms, hedge funds, and established tech companies to cover the costs of hardware and staffing needed to compete.
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