Semiconductor giant eyes multi-billion-dollar deal as search firm’s annualised revenue surpasses $750 million.
Nvidia is in discussions to invest in artificial intelligence (AI) search startup Perplexity as part of a fresh equity funding round that could value the business at more than $30 billion, according to a report by The Information.
If completed, the multi-billion-dollar transaction would boost Perplexity’s valuation by more than 50% compared to its previous financing round a year ago. The proposed deal reflects deepening commercial ties between the two technology firms, coming alongside reports that both companies have also explored potential technology licensing agreements.
Both Nvidia and Perplexity refused to comment on the report. Earlier this year, Perplexity signed a $750 million agreement with Microsoft to use its Azure cloud service.
Perplexity plans to go public in 2028, regardless of how other AI peers, ANthropic and OpenAI perform, according to CEO, Arvind Srinivas. The startup’s investors , now with Nvidia, include Amazon’s founder Jeff Bezos and Japan’s SoftBank group.
Perplexity has experienced rapid growth in recent months, with its annualised revenue climbing past $750 million, up from less than $250 million a year earlier. The startup’s rapid momentum and expanding partnership network have positioned it as a prominent contender in the AI-driven search space, attracting substantial interest from major chipmaker Nvidia as it continues to expand its strategic investments across the artificial intelligence ecosystem.
Last week, Nvidia denied a report by the Information that it is rolling out a China-specific Language Processing Unit (LPU).
