Apple Perplexity AI Deal: Apple Might Make Bold AI Move Soon
Apple is reportedly eyeing a possible acquisition of Perplexity AI, a rising star in the world of AI-powered search engines and chatbots. According to a recent analyst note from Wedbush, the iPhone maker needs to make a big move in artificial intelligence—and buying Perplexity might be the exact power play Apple needs to catch up with rivals like Google and Microsoft.
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Why Is Apple Interested in Perplexity AI?
Perplexity AI is a relatively new AI-powered search engine that combines chatbot features with real-time search capabilities. It’s often seen as an alternative to traditional Google search, offering users clean, citation-based responses instead of just links.
For Apple, acquiring such a startup could give them:
- A major AI search engine platform
- Strong AI research and development talent
- An instant upgrade to Siri, Apple’s voice assistant
With over 2.35 billion active Apple devices, integrating advanced AI search across Apple’s ecosystem (iPhone, iPad, Mac, Vision Pro, etc.) could be game-changing.
What’s the Pressure on Apple?
The pressure on Apple is growing. Google, Microsoft, Meta, and Amazon have all gone big on AI. Google integrated Gemini into its ecosystem. Microsoft partnered with OpenAI to build Copilot into Windows. Meta is pouring money into Scale AI and hiring aggressively.
But Apple? It’s moving slower.
According to Wedbush, Apple is watching the AI revolution go by “at 100 miles an hour.” Their AI announcements have been modest so far, and a full AI-powered version of Siri is still missing. That lack of action has made some investors nervous, leading to stock price stagnation compared to its tech peers.
Wedbush analysts wrote:
“The time has come. Apple needs to acquire Perplexity to significantly boost its AI platform.”
Potential Benefits of the Apple Perplexity AI Deal
If Apple does move forward, this could be one of the most important tech deals in recent years. Benefits include:
- Immediate AI Capabilities: Perplexity already has a working AI system. Apple doesn’t need to start from scratch.
- Fixing Siri’s Reputation: Siri has been criticized for being slow and less helpful than Google Assistant or Alexa. Perplexity tech could transform Siri.
- Building a New AI Gateway: Apple could position Siri as the main AI assistant on mobile devices—much like Google is trying to do with Gemini.
- Future-Proofing Against Google: Apple still relies on Google for search. If it can make its own AI search platform, it reduces dependence.
Risks of the Deal
It’s not all upside. Apple has some risks to think about:
- Legal Risk: Perplexity is facing a lawsuit from News Corp (owner of Dow Jones and The Wall Street Journal) for allegedly copying copyrighted content without permission. This could get messy for Apple if it moves forward.
- Google Partnership Strain: Apple makes billions from its deal with Google to be the default search engine on Safari. Buying Perplexity could threaten that relationship.
- Acquisition Hesitance: Historically, Apple doesn’t like big, flashy acquisitions. Most of its purchases are small and under the radar.
What Do Other Analysts Say?
Not all experts are on board with this idea. Bank of America Securities pointed out the legal and partnership risks. But Wedbush remains confident that Apple has no choice if it wants to remain a leader in the AI race.
They compared Apple’s situation to Meta, which has been on an “AI warpath” lately. Meta’s $14 billion investment in Scale AI and rapid AI hiring are signs that the major tech players are not waiting around. And Wedbush believes Apple must follow or be left behind.
Apple’s Long-Term AI Vision
Apple has hinted that on-device AI is its focus. Unlike cloud-based AI from Google and Microsoft, Apple wants AI to work privately and securely on devices like the iPhone and Mac.
A deal with Perplexity could help with that. By owning the AI stack from search to software, Apple could create an experience that’s:
- Faster (no internet needed)
- More private (all data stays on device)
- Deeply integrated with iOS and macOS
Conclusion
Whether or not Apple buys Perplexity AI, it’s clear that the company needs to move fast in artificial intelligence. The tech world is evolving rapidly, and Apple can no longer afford to be a spectator.
A potential Apple Perplexity AI deal could be the bold step the company needs to take its AI efforts seriously—and give users an AI experience that’s as seamless and premium as the hardware it runs on.