AI Startup Acquisition Could Propel Apple Into the Search Engine Race
In a move that could significantly reshape the company’s artificial intelligence ambitions, Apple is reportedly exploring an AI startup acquisition—specifically, the fast-growing firm Perplexity AI. According to people familiar with the matter, Apple’s internal discussions remain in the early stages, but the potential buyout could signal a major shift in how the tech giant positions itself in the AI and search ecosystem.
Led by Adrian Perica, Apple’s head of mergers and acquisitions, the discussions reportedly included Eddy Cue, who heads the company’s services division, along with Apple’s senior artificial intelligence strategists. While no official contact has been made with Perplexity AI’s leadership, the fact that Apple is weighing such a move is a strong indicator of the company’s growing urgency to scale up in the AI space.
Why Perplexity AI is on Apple’s Radar for AI Startup Acquisition
Perplexity AI, a startup known for its innovative approach to AI-powered search and knowledge engines, has been gaining traction in Silicon Valley. The firm presents a unique opportunity for Apple to leapfrog some of the challenges it faces in AI development—particularly around generative AI and search technologies.
With its conversational search model and growing user base, Perplexity AI fits well into Apple’s vision of privacy-focused and efficient technology. While Meta reportedly made a move to acquire Perplexity earlier this year, the startup remains independent, keeping the door open for other tech players to make a bid.
Strategic Importance of AI Startup Acquisition for Apple’s Future
Apple’s potential AI startup acquisition isn’t just about staying competitive—it’s about survival in an increasingly AI-driven tech landscape. The Cupertino-based company has historically taken a conservative approach to mergers and acquisitions. However, the rise of generative AI has created a new urgency.
One of Apple’s critical concerns is the possible termination or renegotiation of its search engine deal with Google, which brings in billions in annual revenue through Safari’s default search setting. Should this lucrative partnership come to an end, Apple would need a robust alternative—and acquiring an AI startup like Perplexity could serve as the foundation for building a proprietary search engine powered by artificial intelligence.
Apple’s Quiet but Steady AI Ambitions
Although Apple has been less vocal than Microsoft, Google, or Meta about its AI advancements, the company has been making strategic investments in the space. At WWDC 2025, Apple unveiled several AI-powered features across iOS and macOS, signaling a more public commitment to artificial intelligence.
Still, Apple’s silence on generative AI has raised questions. An AI startup acquisition like Perplexity could provide the talent, infrastructure, and technology needed to fast-track Apple’s AI roadmap—both in software features and back-end services.
Challenges Ahead: Will Apple Make a Move?
Despite the speculation, insiders caution that these are only internal discussions at Apple. No formal negotiations with Perplexity AI have begun, and there’s no guarantee that Apple will pursue an acquisition. The company’s decision-making process for M&A is typically slow and methodical, especially given its strong preference for building rather than buying.
However, if Apple does decide to proceed, it could mark one of the most significant moves in the AI landscape this year. For now, all eyes are on whether Apple will take its AI ambitions to the next level through a strategic AI startup acquisition.