AI-powered search startup Perplexity has made an unexpected $34.5 billion bid to acquire Google’s Chrome web browser, marking a bold move to challenge the tech giant’s internet dominance. The offer comes as US regulators weigh forcing Google to sell Chrome following an antitrust ruling.
Perplexity’s Strategic Move Against Google
The San Francisco-based startup confirmed that its proposal was sent to Alphabet, Google’s parent company, on Tuesday morning. Perplexity — which positions itself as an AI-driven alternative to Google Search — says the deal would be funded through backing from major investment funds, though it declined to name them.
Antitrust Ruling Threatens Google’s Grip on Search
Google is under intense scrutiny after a federal judge ruled last year that it illegally monopolised the internet search market. Potential remedies proposed by the US government include:
- Forcing the sale of Google Chrome
- Licensing search data to competitors
- Reducing exclusive default search deals
While Google plans to appeal the ruling, it is also negotiating softer solutions, which could delay any forced sale for years.
Analysts Question the $34.5 Billion Offer
Industry analysts are sceptical about Perplexity’s valuation. Colin Sebastian of Robert W. Baird & Co. estimated Chrome’s worth at closer to $100 billion, calling the bid a “vast undervaluation.” He also warned that separating Chrome from Google’s ecosystem could harm its quality, reliability, and user experience.
Perplexity’s Vision for Chrome and the Browser Market
Perplexity, recently valued at $18 billion after a $100 million funding round, insists it has the funds and a detailed plan. If successful, it would:
- Invest $3 billion over two years in Chrome and the Chromium project
- Retain Chrome’s existing engineering talent
- Maintain stability for both users and advertisers
This is not Perplexity’s first ambitious move — earlier this year, it reportedly sought to merge with TikTok’s US operations to prevent a potential ban.
Launch of Perplexity’s Own AI Browser
Beyond the Chrome bid, Perplexity is preparing to launch Comet, its AI-powered browser with built-in agents capable of handling online shopping and other tasks. The company promises no stealth modifications to Chrome if acquired, focusing instead on transparency and innovation.
What’s Next?
It remains unclear whether Google will entertain the offer or if regulators will force a divestment. For now, Perplexity’s bid marks a significant moment in the browser wars, with AI startups positioning themselves as serious challengers to big tech dominance.