Apple weighs Perplexity AI acquisition, eyes AI-powered search alternative: Report
Apple Inc. is reportedly weighing the possibility of acquiring artificial intelligence (AI) startup Perplexity AI, as the tech giant steps up efforts to enhance its generative AI capabilities and potentially reduce its reliance on Google for search services.
According to sources familiar with the matter, Adrian Perica, Apple's head of mergers and acquisitions, has been engaged in preliminary discussions with services chief Eddy Cue and senior figures leading Apple's AI strategy, reported Bloomberg.
While the deliberations possibly remain in their early stages and no formal offer has been tabled, the potential move reflects Apple's growing urgency to secure both advanced AI technology and top-tier talent.
A deal with Perplexity could position Apple to develop its own AI-powered search engine, a strategic hedge as its lucrative, long-standing agreement with Google faces mounting scrutiny from US antitrust regulators. That partnership, which makes Google the default search engine on Apple devices, reportedly earns the iPhone maker an estimated $20 billion annually. However, its future remains uncertain pending the outcome of a major antitrust trial.
As of now, Apple has not approached Perplexity's management directly regarding a takeover. Meanwhile, the AI firm stated it was unaware of any acquisition discussions. Apple, true to form, has declined to comment.
Perplexity, valued at $14 billion following a recent funding round, offers real-time answers to user queries by drawing from current web data, positioning itself as a next-generation alternative to conventional search engines. Any deal approaching its valuation would mark the largest acquisition in Apple's history, surpassing its $3 billion purchase of Beats Electronics in 2014.
The competition for AI talent is intensifying. Meta is also in advanced talks to recruit Daniel Gross, co-founder of Safe Superintelligence Inc. Apple, however, is attempting to lure Gross back into its fold. Gross previously sold his startup Cue to Apple in 2013, a move that played a key role in shaping Apple's early AI functionalities. His co-founder, Robby Walker, recently transitioned from leading Siri to spearheading an Apple initiative called 'Knowledge', which is focused on developing a ChatGPT rival using real-time internet data.
Internally, Apple has held multiple technical discussions with Perplexity in recent months, evaluating its platform and capabilities. The company is also reportedly exploring the possibility of a strategic partnership instead of a full acquisition. One such option includes integrating Perplexity into Safari as a search engine alternative and embedding its features into Siri.
Cue, who oversees Apple's services division, including iCloud and Apple TV+, previously acknowledged Perplexity's promise while testifying at the Google antitrust trial. 'We've been pretty impressed with what Perplexity has done,' he noted, adding that the future of internet search is increasingly being shaped by AI-driven solutions rather than traditional engines.
(With inputs from Bloomberg)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
37 minutes ago
- Mint
Google introduces AI-powered Chromebook Plus 14: Features, specifications, and more
Google introduced the Lenovo Chromebook Plus 14, a new addition to the Chromebook line-up that features upgraded hardware and AI-powered software tools aimed at improving productivity and user experience. The laptop is now available for purchase in two configurations: a 12GB RAM model priced at $649, and a higher-end 16GB RAM variant with a fingerprint scanner for $749. The Chromebook Plus 14 is equipped with MediaTek's latest Kompanio Ultra processor, which includes what Google claims is the most powerful ARM-based Neural Processing Unit (NPU) ever integrated into a Chromebook. Capable of up to 50 trillion operations per second (TOPS), the chip is built to handle a wide range of AI-driven tasks. The device also offers up to 17 hours of battery life, marking the longest battery performance in the Chromebook Plus range so far. In terms of hardware, the new Chromebook includes a number of firsts. It is the first Chromebook Plus to feature Dolby Atmos support for audio and comes with an OLED display. A fingerprint scanner is included in the higher-spec model. These additions place the device at the higher end of the Chromebook market, positioning it as a tool for users managing multiple tasks and media-related work. New on-device AI features have also been integrated. Smart Grouping, for instance, automatically organises browser tabs and documents into groups based on the user's ongoing tasks. The Gallery app now includes AI image editing, which allows users to remove backgrounds or create stickers directly from their image library with a single click. In parallel with the hardware launch, Google is rolling out several AI features across the wider Chromebook Plus portfolio. These tools are embedded directly into ChromeOS and aim to simplify everyday digital tasks. One such feature is "Select to Search with Lens", which allows users to highlight any part of their screen and get contextual information, such as similar shopping options or explanations, without navigating away from the current page. Another addition, "Text Capture", enables users to extract editable text from images, such as receipts or handwritten notes. This information can then be used to automatically populate calendar entries or generate shopping lists in Google Docs. Meanwhile, the new "Quick Insert Key" offers the ability to generate images or insert photos and emojis directly into documents or presentations, streamlining creative workflows. "Help Me Read" has also received an upgrade. Beyond summarising lengthy passages, it can now simplify dense or technical text, making it easier to understand. These tools are available to all Chromebook Plus users, regardless of model. Customers purchasing a Chromebook Plus will also receive a 12-month subscription to the Google AI Pro plan. The package includes 2TB of cloud storage and access to Google's Gemini AI in Gmail, Docs, and more. Users will also be able to launch NotebookLM, Google's AI research and writing assistant, directly from the desktop shelf. The Chromebook Plus 14 also includes custom wallpapers developed in partnership with NASA. These images depict Jupiter's auroras during different phases such as day, night, sunrise and sunset, and are exclusive to this particular device. Finally, app support has been expanded. Netflix's Squid Game: Unleashed is being optimised for Chromebooks with keyboard and mouse controls, along with exclusive in-game content. Luminar, a popular AI-powered photo editing app, is now supported on Chromebooks and is being offered free for three months with the purchase of any Chromebook Plus model. The Lenovo Chromebook Plus 14 is currently available through Best Buy
&w=3840&q=100)
Business Standard
38 minutes ago
- Business Standard
Apple's China supply chain remains strong despite focus on India, SE Asia
China still enjoys dominance in Apple's key supply chain segments, even as the global tech giant's share of electronics manufacturing in the country has dropped from around 70 per cent to 50 per cent over the last seven years amid increasing focus on India and Southeast Asia, a report by a US-based public policy think-tank American Enterprise Institute (AEI) said. According to the report, key supply chain segments, such as printed circuit boards, printing and packaging, molded and mechanical components, and especially precision manufacturing remain predominantly in China, leaving scope for policymakers in countries like India to focus on attracting investment from its suppliers in such manufacturing capabilities. Interestingly, despite this dominance, Chinese-owned firms generally only play a role in lower-value segments of the supply chain. Many of the higher-value components— even those made in China— are produced in factories owned by Japanese, Taiwanese, or US firms, the report said. It indicated that the monopoly of China in electronics manufacturing for Apple is declining over the years. The assembly of all components into a device— the final step in the production process— is referred to as electronics manufacturing or assembly. 'Beginning in 2018, Apple began to shift its electronics manufacturing footprint, presumably driven by the 2018 US tariffs on China. Before 2018, around 60–70 per cent of electronics manufacturing locations were in China, including nearly all final assembly of key devices like iPhones. Today, by contrast, around 50 per cent of Apple facilities are in China, with increased factory share in India and Southeast Asia,' the report said. Of the 17 companies conducting electronics manufacturing in Apple's supply chain, only two are Chinese. Of the 34 electronics manufacturing facilities reported in China, only three are operated by Chinese firms. The report suggests that policymakers in India and countries in Southeast Asia seeking to attract investment and upgrade their manufacturing capabilities have substantial scope to continue attracting suppliers of companies like Apple, in not only basic assembly, but also some of the other component categories. 'The fact that many of these China-based factories are owned by foreign firms facilitates potential supply chain shifts. Moreover, as western electronics firms face higher tariffs, they are looking for more diversified production locations,' it said. The report is authored by Chris Miller, a non-resident senior fellow at the AEI, and Vishnu Venugopalan, a fellow at Harvard University and an Indian Administrative Service officer. It added that the assembly process for devices like phones often only cost around $10, a tiny fraction of its price. Hence, if tariffs lead to a shift in electronics manufacturing, shifting final assembly from China to a different country — without any other changes in its supply chain – will have minimal impact. Interestingly, the US major has diversified the battery ecosystem, which was solely dependent on China and South Korea till 2018, to multiple other countries. 'Today, however, it procures battery components from five different regions, including India and Southeast Asia. While over half of Apple's battery component sourcing locations remain in China, more than 40 per cent of locations are now outside China, representing a significant shift in Apple's production footprint. Notably, the concentration of China-based manufacturing facilities is greater than the share of Chinese firms. As of 2023, there were firms headquartered in Taiwan, South Korea, and Germany in Apple's battery supply chain—more non-Chinese firms (five) than Chinese (four)," it stated. The connectors and cables category involve some low-end products and some that require more high-end, specialty chemicals. 'The enduring position of Japan-based manufacturing in this category illustrates the higher-end manufacturing involved in certain components. Other segments, however, have seen a substantial shift from China to India and the 'other' category, mostly Southeast Asian countries,' it added. Of the nine companies producing products in this category, only one is Chinese. Other firms in this category with China-based manufacturing are American, Taiwanese, or Japanese — companies like Amphenol (US), Japan Aviation Electronics Industry (Japan), Furukawa Electric (Japan), and Hirose Electric (Japan).
&w=3840&q=100)
Business Standard
38 minutes ago
- Business Standard
Tech Wrap June 23: OPPO K13x, Oakley Meta HSTN glasses, Perplexity AI on X
OPPO K13x 5G with Dimensity 6300, 6000mAh battery launched at Rs 11,999 Chinese smartphone brand OPPO has launched the K13x 5G smartphone in India, starting at Rs 11,999. Powered by the MediaTek Dimensity 6300 processor, the phone features a 6.67-inch HD+ LCD display, a 6000mAh battery, and several AI-based tools to simplify tasks and enhance creative workflows. Meta has partnered with an American company Oakley, which is a subsidiary of Luxottica, to come up with a new range of smart glasses targeted at athletes or consumers who are looking for rugged smart glasses. As per Meta, the Oakley Meta Glasses offer significantly improved battery life compared to the Meta Ray-Bans, delivering up to eight hours of continuous use and an additional 48 hours via the charging case. Video recording capabilities have also been enhanced, with resolution increasing from 1080p to 3K for clearer, more detailed footage. Perplexity has introduced a new feature to its chatbot on X (formerly Twitter), which allows users to create short, AI-generated videos with sound. The feature works by simply tagging @AskPerplexity in a post and adding a short prompt. Users receive an eight-second video clip that includes creative visuals, background music and dialogue. The new feature has led to more user activity, with people trying out how creative the AI can be. Nothing has officially confirmed that its maiden over-ear headphones, the Nothing Headphone 1, will launch in India on July 1, in sync with the global release. The confirmation came via a post on X (formerly Twitter) by co-founder Akis Evangelidis, who stated, 'Headphone (1) will be launched in India at the same time as global.' WhatsApp is introducing a new feature that allows users to generate AI-powered custom wallpapers for their chats using Meta AI. As per WABetaInfo, the feature is part of the latest WhatsApp beta update for Android and will be available to more users in the coming weeks. Apple is reportedly preparing to open up a new local connectivity option for third-party apps with the release of iOS 26. According to iHelp BR, a Brazilian publication focused on Apple technologies, a new feature called Wi-Fi Aware will enable apps to discover and connect to nearby devices over Wi-Fi, even without an internet connection or shared Wi-Fi network. Chinese smartphone manufacturer Vivo has unveiled the Vivo X200 FE smartphone in Taiwan, with a global release expected soon. Powered by the MediaTek Dimensity 9300+ chipset, the Vivo X200 FE features a 6.31-inch AMOLED display with 1.5K resolution and 120Hz refresh rate. The smartphone brings IP68 and IP69 ratings for dust and water resistance and includes several artificial intelligence (AI)-backed imaging features through a triple camera set-up co-engineered with Zeiss. Apple is reportedly planning a major design overhaul for the iPhone, aiming to release a mostly glass model in time for the product's 20th anniversary in 2027. According to a report by MacRumors, citing Bloomberg's Mark Gurman, Apple may start making gradual changes as early as next year, beginning with a smaller Dynamic Island on 2026 iPhone models. These changes would align with the company's broader visual shift, hinted at through the recently announced 'Liquid Glass' design language, which debuted with iOS 26 and other platform updates. A newly introduced Microsoft's Family Safety tool is causing Google Chrome to crash on Windows, leaving users frustrated for more than two weeks. As reported by The Verge, the issue began in early June and either prevents Chrome from opening or causes it to crash immediately after launching. Apple is reportedly exploring a potential acquisition of Perplexity AI, the US-based AI start-up. According to a recent Bloomberg report, Apple executives, including mergers and acquisitions head Adrian Perica, services chief Eddy Cue, and key decision-makers in AI, have held internal discussions about making a bid for the company. Overall, the Alcatel V3 Ultra is a smartphone that one should get if they are a fan of reading. If someone's an avid reader and they are looking for a smartphone in the budget segment that can also handle some multimedia experience, then this will be the right option for them. If someone's looking for a good battery life, then too Alcatel V3 Ultra can be a good option, however, only if they are willing to compromise on the colours of the display. Artificial intelligence will reshape the job market, but the transition is likely to be turbulent, according to LinkedIn Chief Executive Officer Ryan Roslansky. In an interview with Bloomberg, Roslansky warned that while AI will create long-term opportunities, it is first set to trigger 'a ton of disruption' and 'a ton of uncertainty' for workers across sectors.
