Paris-based startup Perplexity AI has secured $73.6 million in Series B funding, marking a significant milestone in its pursuit of revolutionizing AI-native search. The funding round was led by IVP, with support from major investors such as Nvidia, Bezos Expeditions Fund, and Kindred Ventures. Perplexity AI has rapidly grown since launching the world’s first fully functional conversational answer engine a year ago, boasting 10 million monthly active users and handling over half a billion queries in 2023.
With the ambition to cater to the entire planet’s curiosity, Perplexity AI focuses on accuracy and transparency in its AI-powered search tools. The platform aims to eliminate the need for users to navigate through multiple links, compare answers, or sift through sponsored content. Instead, Perplexity offers instant, reliable answers to queries, complete with sources and citations.
“Perplexity is intensely building a product capable of bringing the power of AI to billions. The team possesses the unique ability to uphold a grand, long-term vision while shipping product relentlessly, requirements to tackle a problem as important and fundamental as search.”
Cack Wilhelm, General Partner, IVP
The Series B funding will support Perplexity’s expansion plans and ongoing consumer adoption. The company has raised a total of $100 million to date, building on its Series A funding from the previous year. The success of Perplexity AI reflects a growing behavioral shift in how people access information online, standing at the forefront of accelerated learning and research in the new era of AI-powered search.
In addition to its core search tools, Perplexity AI introduced Copilot, an innovative AI research assistant that simplifies information discovery. Copilot tailors search queries with custom follow-up questions, setting the stage for generative user interfaces. This approach distinguishes Perplexity from traditional AI chatbots and search engines, garnering attention from academics, students, and knowledge workers.
“While there has been a lot of excitement around business-to-business and developer-related AI capabilities, AI will also transform how we access information. Perplexity is at the forefront of this shift as one of the few consumer AI products to reach this major milestone of 10 million MAUs. They will become the go-to place for trusted information, which is why I am so excited that Perplexity is NVIDIA’s first consumer investment from our corporate arm.” – Jonathan Cohen, VP of Applied Research at NVIDIA.
The funding success positions Perplexity AI as a major player in the evolving landscape of AI-driven search, addressing transparency and accuracy concerns. The startup allows subscribers to choose from multiple Large Language Models (LLMs), including Google Gemini, Mistral 7B, Anthropic’s Claude 2.1, and OpenAI’s GPT-4. The platform’s goal is to disrupt the existing search model, dominated by SEO spam and sponsored links, and usher in a new era of streamlined information consumption.
While Perplexity aims to challenge the established search giants, including Google, its focus on source transparency and veracity sets it apart. With plans to optimize the user experience and explore alternative monetization methods, Perplexity AI is poised to reshape the future of AI-powered search and deliver more accurate and reliable results.
As the market witnesses a shift towards AI-driven search experiences, Perplexity AI’s innovative approach and funding support position it at the forefront of transforming how people access and trust information online. The startup’s success in Series B funding reflects the growing demand for accurate, transparent, and user-friendly AI-powered search solutions.
