Startup in artificial intelligence Confusing AI has unexpectedly offered $34.5 billion (£25.6 billion) to acquire Google Chrome, the most widely used web browser in the world.
The three-year-old company is led by a former Google and OpenAI employee and has investors including Jeff Bezos, the founder of Amazon, and Nvidia, a chip manufacturer.
However, one investor in the IT sector referred to the offer as a “stunt” that is significantly less than Chrome’s actual worth and pointed out that it’s unclear if the platform is actually for sale.
This month, a US federal judge is anticipated to render a decision that would mandate Google to dismantle its search division.
The business has stated that it would appeal the decision, claiming that the plan to split out Chrome was a “unprecedented proposal” that would compromise security and negatively impact customers.
An estimated three billion people use Chrome.
Due to two antitrust proceedings in the US, Google’s hegemony in the search engine and online advertising markets has come under close examination.
The BBC was informed by a Perplexity representative that the company’s bid represents a “important commitment to the open web, user choice, and continuity for everyone who has chosen Chrome.”
In a letter to Sundar Pichai, the CEO of Alphabet, the company that owns Google, Perplexity stated that the public would benefit from Chrome being moved to an independent operator dedicated to user safety.
Questions concerning how the proposed deal would be financed were not answered by Perplexity. It was expected to be worth $18 billion in July.
According to Judith MacKenzie, head of Downing Fund Managers, “I love their boldness but this is an unsolicited bid and is not actually funded yet,” she said on the BBC’s Today show.
The proposal by Perplexity was described by technology sector investor Heath Ahrens as a “stunt, and nowhere near Chrome’s true value, given its unmatched data and reach.”
“The offer isn’t serious, but if someone like Sam Altman or Elon Musk tripled it, they could genuinely secure dominance for their AI,” he stated.
According to Theory Ventures’ Tomasz Tunguz, Chrome is worth “maybe ten times more valuable than the bid or more.”
Perplexity: What is it?
Alongside more established platforms like Google’s Gemini and OpenAI’s ChatGPT, Perplexity is one of the up-and-coming competitors in the generative AI competition.
It released Comet, an AI-powered browser, last month.
However, it has generated criticism, particularly from media outlets that have charged it with violating copyright laws.
The BBC accused Aravind Srinivas, the CEO of Perplexity, in a June legal letter of copying BBC information “verbatim” without authorization.
Perplexity said that “The BBC’s claims are just one more part of the overwhelming evidence that the BBC will do anything to preserve Google’s illegal monopoly.”
When the corporation offered to purchase the American version of TikTok, which has until September to be sold by its Chinese owner or outlawed in the US, it made headlines earlier this year.
Although users could change their settings, Perplexity stated that Google will remain Chrome’s default search engine as part of the proposed takeover.
Additionally, the company announced that it would support and maintain Chromium, a popular open-source platform that works with Chrome and other browsers like Microsoft Edge and Opera.
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