Apple Mulls Perplexity Acquisition Amidst AI Race

In the evolving AI landscape, major tech companies like Apple and Meta are considering acquiring AI startups to maintain competitive advantage. Apple has internally discussed potentially bidding for AI startup Perplexity, though these talks are preliminary and no official approach has been made to Perplexity's management. Meta also attempted to acquire Perplexity earlier this year as part of its broader strategy to reinforce its presence in AI. Furthermore, Meta has been active in investing in AI, recently pouring $14.2 billion into Scale AI, while continuing to explore other opportunities to expand its AI capabilities, including a potential, though rejected, acquisition of Safe Superintelligence. These moves are part of a wider strategy to integrate advanced AI functionalities into their services, such as Apple's interest in embedding AI-enhanced search features in its Safari browser, potentially shifting away from Google. Additionally, Meta faces an antitrust case from the United States Federal Trade Commission, highlighting past large-scale acquisitions aimed at consolidating market power.