Perplexity AI Nears $14 Billion Valuation with Major Funding Round

PALO ALTO, California — Perplexity AI is reportedly close to raising $500 million in a new funding round, which would value the artificial intelligence search startup at $14 billion. The Wall Street Journal reported on May 12, 2025, that the funding round is expected to be led by venture capital firm Accel.

This funding comes on the heels of Perplexity’s growth spurt, which saw its valuation soar from $520 million at the beginning of 2024 to $9 billion during its last fundraising round. If the new round is successful, it will mark a significant boost for the company, which has quickly gained prominence in the AI search landscape.

Perplexity employs advanced natural language processing and real-time web indexing to deliver brief, sourced answers to users. Their platform offers capabilities similar to those of ChatGPT and Google’s Gemini, yet focuses more on factual accuracy and real-time information.

The startup’s user base includes researchers and professionals seeking superior alternatives to conventional search engines. As competition in the broader AI search market intensifies, notable investments have flowed into the sector, spurred by advancements in AI technologies.

Amid these developments, speculation mounts that Apple may soon integrate third-party AI search tools, potentially including Perplexity, into its Safari browser. This could increase Perplexity’s exposure to millions of iOS and macOS users, greatly enhancing its reach.

Previously, Perplexity aimed to secure funding in the range of $500 million to $1 billion at a projected valuation of $18 billion. Nonetheless, the current valuation of $14 billion reflects ongoing interest from investors and a fiercely competitive environment.

Perplexity’s rapid rise is bolstered by a team of seasoned professionals well-versed in large language models and scalable technology. The firm has positioned itself as a transparent and research-friendly option, especially in contrast to AI chatbots known for inaccuracies.

As of now, Perplexity has not responded to requests for comments regarding the funding talks.