Perplexity bids $34.5B for Chrome amid Google's antitrust battle
In a bold and unexpected move, AI search engine Perplexity has launched an unsolicited cash offer of $34.5 billion to acquire Google’s Chrome browser. The proposal, confirmed by Perplexity to TechCrunch following an initial report by Reuters, arrives amidst intense legal scrutiny on the tech giant.
Perplexity has outlined specific commitments as part of its bid. The company pledges to maintain Chrome’s underlying engine, Chromium, as an open-source project and to invest an additional $3 billion into its continued development. Crucially, Perplexity also promises not to alter Chrome’s default user settings, including the default search engine, meaning Google would remain the primary search provider rather than Perplexity’s own AI-powered option. Google has not yet responded to requests for comment regarding the offer.
This audacious bid emerges against a backdrop of significant legal challenges facing Google. In March, the Department of Justice proposed that Google be compelled to sell Chrome, following a judge’s ruling that the company had engaged in illegal practices to maintain a monopoly in online search. Google has vehemently rejected the notion of divesting Chrome and has vowed to appeal the ruling. A spokesperson for Perplexity indicated that the court might soon establish terms for remedies, possibly as early as this month. This ongoing pressure on Google extends to another federal case, where a judge ruled the company illegally monopolized the adtech market, prompting the DOJ to propose a breakup of its advertising business or the divestiture of two adtech products.
The potential sale of Chrome has previously attracted interest from other major players. When the Department of Justice first suggested Google divest the browser, both OpenAI and Perplexity expressed their interest. Given Chrome’s dominant position, commanding an estimated 68% of the global browser market share according to Statcounter, any court-mandated sale would undoubtedly draw bids from numerous companies worldwide. Intriguingly, the CEO of rival search engine DuckDuckGo testified in April that Chrome could be valued “upwards of $50 billion,” suggesting Perplexity’s current offer, if successful, could be considered a relative bargain.
Perplexity’s $34.5 billion offer significantly surpasses the capital it has raised to date and even its most recent valuation. The startup has reportedly secured approximately $1.5 billion from investors, including a $100 million extension round last month that valued the company at $18 billion, according to Bloomberg. The ambitious nature of this acquisition attempt is further highlighted by Perplexity’s recent strategic maneuvers. Last month, the company launched its own browser, Comet, signaling its intent to expand its AI search business independently. Furthermore, Perplexity reportedly submitted a bid to merge with TikTok, indicating a broader strategy to carve out a substantial presence in the evolving digital landscape.