Perplexity AI is at it again. The AI search upstart is reportedly seeking a new massive funding round that could double its valuation to a whopping $18 billion.
That’s right – double. In just months. Founded in 2022, this San Francisco-based company has been on a funding tear. They’re barely two years old and already talking billions. Let that sink in.
The Money Trail
Perplexity’s funding journey has been nothing short of meteoric:
| Date | Amount Raised | Valuation |
|---|---|---|
| January 2024 | $73.6M | $520M |
| March 2024 | Undisclosed | $1B |
| December 2024 | $500M | $9B |
| Currently Discussing | $500M-$1B | $18B (targeted) |
What They Actually Do
Perplexity offers an AI-powered search engine built on large language models. They’ve got free and paid versions. In November, they launched a shopping hub.
Their usage stats are actually impressive:
- Over 100 million queries per week (as of October 2024)
- 15 million active users (reported March 2025)
Why They Need More Cash
All that AI compute isn’t cheap. Running large language models costs serious money, and Perplexity has big plans. They’re developing something called “Comet” – an “agentic” browser.
They’re also pushing into enterprise solutions, helping companies search through their internal documents.
The Competition Is No Joke
Perplexity isn’t playing in an empty sandbox. They’re up against the biggest tech giants on the planet:
- Microsoft
- OpenAI
- Anthropic
Recent Moves
- Launched revenue-sharing with publishers (July 2024)
- Created a $50 million venture fund for AI startups (February 2025)
- Proposed a merger with TikTok US (January 2025)
- Added finance features (October 2024)
Not all is rosy, though. They’re facing copyright lawsuits from media companies.
What This All Means
If Perplexity secures this new funding at the rumored $18 billion valuation, they’ll cement their position as one of the fastest-growing AI startups ever. The jump from $9 billion to $18 billion in mere months would be staggering.
With 15 million users and growing revenue, they’ve got something real. But $18 billion real? The investors lining up with checkbooks seem to think so, as recent reports suggest.