TikTok is but to discover a new proprietor and the bidders are already lining up! World’s greatest quick video content material platform TikTok is engaged on a deadline to discover a new purchaser for itself to proceed its operations within the US. Perplexity AI has thrown its hat into the bag too! It has provided to purchase a 50% stake in TikTok providing the remaining 50% stake to the US authorities. With a number of huge names like Elon Musk, Larry Ellison, Oracle, Microsoft, and extra displaying curiosity in shopping for TikTok, Perplexity AI has raised a number of eyebrows with its supply!
What’s the TikTok-US Govt Difficulty?
It began when the US authorities raised safety issues over potential information entry of TikTok’s customers by the Chinese language authorities. TikTok, owned by China’s Byte Dance is the most well-liked video platform that caters to over 170 million US customers. As per the laws that was handed by the federal government, Bytedance has to disinvest from TikTok by Jan 19, 2025, to proceed its operations within the US. However the brand new US president Donald Trump has prolonged that deadline by one other 75 days to permit Bytedance to seek out appropriate consumers for its stake within the firm.
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What’s Perplexity AI?
Perplexity AI is a San Francisco-based Gen AI-powered search engine. It was based in August 2022 by Aravind Srinivas, Andy Konwinski, Denis Yarats, and Johnny Ho. Its conversational search engine makes use of massive language fashions like GPT-3.5, Claude Sonnet, and extra to supply real-time solutions to person queries, citing sources inside its responses.
As of December 2024, Perplexity AI secured a $500 million funding spherical, elevating its valuation to $9 billion. The listing of traders of Perplexity AI consists of Jeff Bezos, Nvidia, and SoftBank.
What’s Perplexity AI’s Proposal?
Perplexity AI has proposed a merger with TikTok’s U.S. operations, hoping to create a brand new entity the place the U.S. authorities can have as much as a 50% stake following an preliminary public providing or IPO valued at a minimal of $300 billion. This proposal goals to handle nationwide safety issues by excluding TikTok’s core advice algorithm, the best to which might nonetheless be with ByteDance. The Chinese language enterprise would promote TikTok U.S. to traders, offering current TikTok traders with fairness within the new firm. The holding firm may additionally purchase Perplexity AI if its traders obtain fairness within the new entity
Presently, TikTok presents varied generative AI instruments to its customers. With Perplexity taking up its operations within the US, we may even see extra fascinating Gen AI-powered instruments lining up. Collectively “TikTok + Perplexity AI” may be the following huge factor within the social media area!
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Finish Notice
Perplexity AI has prime traders backing its operations and with its supply, the US authorities can discover its voice within the operations of the US entity of “TikTok” offering a win-win state of affairs throughout the board. Whereas Bytedance has obtained curiosity from a number of leaders throughout the US tech leaders in addition to social media influencers like Mr. Beast, it has but to make an announcement about its determination. Solely time will inform whether or not Perplexity AI will get the possibility to purchase TikTok or not.
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Anu Madan has 5+ years of expertise in content material creation and administration. Having labored as a content material creator, reviewer, and supervisor, she has created a number of programs and blogs. Presently, she engaged on creating and strategizing the content material curation and design round Generative AI and different upcoming expertise.