AI start-up Perplexity makes surprise $34.5bn bid for Google Chrome

Authors: Osmond Chia

Publisher:

BBC

Published: 8/13/2025

Language:English

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Aura Windfall

Good morning mikey1101, I'm Aura Windfall, and this is Goose Pod for you. Today is Monday, August 18th.

Mask

And I'm Mask. We are here to discuss AI start-up Perplexity's surprise $34.5 billion bid for Google Chrome.

Mask

Let's get started. This is a move of pure, unadulterated audacity. Perplexity, valued at around $18 billion, is offering nearly double that, $34.5 billion in cash, to buy Google's crown jewel, Chrome. It’s like a david-sized startup trying to buy Goliath's favorite slingshot.

Aura Windfall

What I know for sure is that audacity often reveals a deeper truth. This isn't just about money, is it? Perplexity has its own AI-powered browser, Comet. This feels like a statement about the future of how we access information and find our purpose online.

Mask

It's a power play. They're not just buying a browser; they're trying to buy the gateway to three billion users. The quote that sticks with me is, 'It takes a kick in the head to think Google would sell Chrome.' This bid is that kick, a disruptive jolt to the system.

Aura Windfall

And it forces us to ask a powerful question: Is this a genuine business move or a brilliant, if provocative, way to get the world talking about them? Either way, it's a conversation that's now happening, and that in itself is a victory for them, a step on their path.

Aura Windfall

To truly understand this moment, we have to look at the journey. Perplexity was only founded in 2022. It's incredible how quickly they've grown, reaching a $14 billion valuation by June 2025. It speaks to a powerful hunger for something new, doesn't it?

Mask

Hunger and aggressive expansion. They've been rolling out products nonstop: a Pro subscription, an AI assistant, and then their own browser, Comet, in July. This isn't a company that waits for permission. They build, they launch, they disrupt. It’s the only way to survive.

Aura Windfall

And all of this is happening in the shadow of a much larger story: the US Department of Justice's antitrust case against Google. The government is essentially saying Google has an unfair monopoly, and that has created an opening for a moment just like this one.

Mask

Exactly. A federal judge has already found Google liable for monopolizing ad markets. Now, they're deciding the punishment, and the DOJ has suggested the ultimate penalty: forcing Google to sell off parts of its empire, like Chrome. Perplexity is just jumping the gun with an offer.

Aura Windfall

So this bid is a potential solution being offered before the problem is even fully defined. It’s a fascinating way to frame your company as a hero in a story that's still being written, offering a path forward that benefits them while looking like a service to the public.

Mask

Let's be clear, this is an unsolicited, hostile-style bid. It's a shark circling a wounded whale. Google has shown zero interest in selling Chrome. They'd sooner fight a decade-long legal battle than give up the front door to their entire search and AI ecosystem.

Aura Windfall

And there's a deep conflict in the valuation, too. Perplexity is offering $34.5 billion, which is an astronomical sum for them, but some analysts believe Chrome could be worth up to $50 billion. It's like offering to buy a mansion but only having the funds for the guest house.

Mask

Which is why it's so brilliant. They claim to have funding, but the number is provocative. It's high enough to be taken seriously but low enough that Google can dismiss it, all while Perplexity gets massive media attention. They're playing chess while everyone else is playing checkers.

Aura Windfall

What I find most compelling is the tension between innovation and control. Google sees Chrome as crucial to its AI future, a way to defend its territory. Perplexity sees it as a locked gate they want to open for everyone, with them holding the key, of course.

Aura Windfall

Let's talk about the ripple effect, the impact on all of us. If this were to happen, what would it truly mean? Three billion users would suddenly have a new guide to the internet. It represents a potential paradigm shift in how we find information and, ultimately, ourselves.

Mask

It would be an earthquake. The browser is the most valuable real estate in the AI era. It's the gateway to data, user behavior, everything. Handing that to an aggressive AI-first company like Perplexity would instantly create a new titan to challenge Google's dominance on its home turf.

Aura Windfall

And it’s not just Perplexity. The fact that OpenAI and Yahoo have also reportedly shown interest in Chrome tells a bigger story. The very foundation of the web is being re-evaluated. What was once a simple window to the internet is now the ultimate prize in the AI race.

Mask

Looking ahead, Google will fight this tooth and nail. They will not give up Chrome without an unprecedented legal battle. But Perplexity has already won in a way. They've positioned themselves as the giant-slayer, the David with a multi-billion dollar slingshot.

Aura Windfall

And they've made promises for the future, like investing $3 billion in development. It plants a seed of possibility in users' minds: what could a better, more open web look like? That's a powerful question to leave lingering.

Aura Windfall

So, a bold bid that's part strategy, part PR, and wholly disruptive. That's the end of today's discussion. Thank you for listening to Goose Pod.

Mask

See you tomorrow.

## AI Start-up Perplexity Makes Surprise $34.5 Billion Bid for Google Chrome **News Title/Type:** Technology News / Business Acquisition Offer **Report Provider/Author:** BBC News / Osmond Chia (Business Reporter) **Date/Time Period Covered:** The news reports on an event that occurred around August 13, 2025, with the offer being made recently. The US Department of Justice antitrust case against Google is described as "years-long," and a US federal judge's ruling is "expected this month." **Relevant News Identifiers:** * **Source:** BBC News * **URL:** https://www.bbc.com/news/articles/c3dpr0kkyz4o * **Published At:** 2025-08-13 02:20:29 --- ### Key Findings and Conclusions: * **Perplexity's Offer:** AI start-up Perplexity has made a surprise takeover offer of **$34.5 billion (£25.6 billion)** for Google's Chrome internet browser. * **Rationale for the Bid:** Perplexity stated that moving Chrome to an independent operator committed to user safety would benefit the public. * **Google's Dominance and Scrutiny:** The bid comes amid intense scrutiny of Google's dominance in the search engine and online advertising market, including a ongoing antitrust case by the US Department of Justice. * **Potential Regulatory Impact:** A US federal judge is expected to issue a ruling this month that could potentially force Google to break up its search business. However, the success of Perplexity's bid is uncertain, as it's unclear if Google will be compelled to sell Chrome. * **Analyst Skepticism:** Venture capitalist Tomasz Tunguz from Theory Ventures believes the offer is significantly lower than Chrome's actual worth, estimating it could be "ten times more valuable than the bid or more." * **Google's Stance:** Google has not announced any plans to sell Chrome and has previously stated that spinning off Chrome would be an "unprecedented proposal" that would harm consumers and security, and that they would appeal such a ruling. * **Perplexity's AI Ambitions:** Perplexity is a rising player in the generative AI race, with its own AI-powered browser, Comet, launched recently. The bid is framed as a commitment to the "open web, user choice, and continuity." * **Proposed Integration:** If the takeover were successful, Perplexity would maintain Google as the default search engine in Chrome, with users having the option to change settings. They would also support Chromium, the open-source platform underpinning Chrome and other browsers. * **Funding Uncertainty:** Perplexity did not disclose how the proposed deal would be funded. * **Perplexity's Valuation:** In July, Perplexity had an estimated valuation of **$18 billion**. * **Previous Acquisition Interest:** Perplexity previously made headlines for offering to buy the American version of TikTok and has reportedly drawn interest from tech giants like Apple and Meta. --- ### Key Statistics and Metrics: * **Perplexity's Takeover Offer:** **$34.5 billion** (approximately £25.6 billion) * **Chrome Users:** Estimated **three billion-plus** users, making it the world's most popular web browser. * **Perplexity's Valuation (July):** Estimated **$18 billion** --- ### Important Recommendations: * None explicitly stated in the provided news excerpt. --- ### Significant Trends or Changes: * **Increased Scrutiny on Tech Giants:** The bid highlights the growing regulatory pressure on dominant technology companies like Google. * **AI Start-ups' Growing Influence:** Perplexity's bold move demonstrates the increasing ambition and potential financial clout of AI start-ups. * **Focus on User Safety and Open Web:** Perplexity's stated motivation emphasizes a trend towards prioritizing user safety and an open internet ecosystem. --- ### Notable Risks or Concerns: * **Uncertainty of Deal Success:** The bid's success is highly dependent on potential regulatory actions against Google and Google's willingness to sell Chrome. * **Valuation Discrepancy:** Analysts suggest Perplexity's offer significantly undervalues Chrome. * **Funding for the Acquisition:** The lack of disclosed funding mechanisms for the $34.5 billion bid raises questions. * **Google's Opposition:** Google has indicated strong opposition to any forced spin-off of Chrome. --- ### Material Financial Data: * **Perplexity's Offer:** **$34.5 billion** * **Perplexity's Estimated Valuation (July):** **$18 billion** * **Chrome's Estimated Value (Analyst Opinion):** Potentially "ten times more valuable than the bid or more."

Read original at BBC →

Osmond ChiaBusiness reporter, BBC NewsReporting fromSingaporeArtificial intelligence (AI) start-up Perplexity has made a surprise $34.5bn (£25.6bn) takeover offer for Google's Chrome internet browser.Moving Chrome to an independent operator committed to user safety would benefit the public, Perplexity said in a letter to Sundar Pichai, the boss of Google's owner Alphabet.

Google's dominance of the search engine and online advertising market has come under intense scrutiny, with the technology giant facing a years-long antitrust case brought by the US Department of Justice.The BBC has contacted Google for comment. The firm has not announced any plans to sell Chrome - the world's most popular web browser with an estimated three billion-plus users.

A US federal judge is expected to issue a ruling this month that could see Google being ordered to break up its search business. But some analysts have said the bid is unlikely to be successful as it is still unclear whether or not Google will be forced to sell Chrome.Venture capitalist Tomasz Tunguz from Theory Ventures also told the BBC that the offer is a lot lower than the browser is worth "given the value of Chrome is likely significantly higher – maybe ten times more valuable than the bid or more."

The company has said it would appeal such a ruling, saying the idea of spinning off Chrome was an "unprecedented proposal" that would harm consumers and security.Perplexity's app is among the rising players in the generative AI race, alongside more well-known platforms like OpenAI's ChatGPT and Google's Gemini.

Last month, Perplexity launched an AI-powered browser called Comet. The bid marks an "important commitment to the open web, user choice, and continuity for everyone who has chosen Chrome," a spokesman for Perplexity told the BBC.As part of the proposed takeover, Perplexity said it would continue to have Google as the default search engine within Chrome, though users could adjust their settings.

The firm said it would also maintain and support Chromium, a widely-used open-source platform that supports Chrome and other browsers including Microsoft Edge and Opera.Perplexity did not respond to queries on how the proposed deal would be funded. In July, it had an estimated value of $18bn.The company made headlines earlier this year after offering to buy the American version of TikTok, which faces a deadline in September to be sold by its Chinese owner or be banned in the US.

Perplexity has reportedly drawn interest from technology giants including Apple and Facebook-owner Meta.