Is Perplexity’s $34.5bn bid for Google Chrome strictly a power move?
Artificial intelligence start-up Perplexity AI has made an unsolicited $34.5bn (£25.4bn) all-cash offer for Google’s Chrome browser, in a move that some analysts say is as much about signalling intent as it is about striking a deal.
The San Francisco-based company revealed the bid on Tuesday, reported Reuters, claiming it had secured backing from several large venture capital funds to finance the offer in full, although it did not name them.
Chrome, launched in 2008, is used by more than three billion people worldwide and remains a cornerstone of Google’s control over online search.
The timing is notable, with Perplexity’s approach coming our just weeks before US District Judge Amit Mehta is expected to outline remedies in a major antitrust case the Department of Justice (DOJ) won against Google last year.
The DOJ has proposed that Chrome be divested to restore competition, though Google has vowed to appeal, describing the remedies as “extraordinary” and “overboard”.
Strategic positioning in the AI search race
Perplexity, valued at $18bn in its latest funding round, is one of a wave of AI-powered search challengers seeking to disrupt the traditional search market.
Founded in 2022, the firm’s search engine provides AI-generated direct answers alongside links to source material, and in July it launched Comet, its own browser built on the same open-source platform as Chrome.
In its bid, Perplexity pledged to keep the open source platform, Chronium, invest $3bn in Chrome over two years, retain most of the browsers’ staff and, notably, keep Google as the default search engine.
Ben Barringer, global tech analyst at Quilter Cheviot, said the offer “is as much about making a statement as it is about securing a deal”, noting the $34.5bn price tag “is widely seen as undervaluing Chrome” and could be the start of a broader price discovery process.
The move also highlights the growing strategic value of browsers in the AI era.
“Whoever owns the gateway to the web holds influence over how information is accessed, prioritised, and trusted”, said Alon Yamin, co-founder and chief executive of Copyleaks.
Whether the bid is a realistic attempt or a calculated show of strength, analysts expect any forced Chrome sale to attract multiple suitors like OpenAI and Yahoo, if regulators push ahead.
But Google is likely to fight any divestment through a lengthy appeals process, potentially delaying such a decision for years.