Perplexity AI Wants To Rebuild TikTok's Algorithm For US Users

Despite Oracle's recent discussions with the White House, Perplexity AI -- a free AI-powered search engine -- remains dedicated to purchasing TikTok, having published its own vision for rebuilding the platform in the U.S., including its powerful algorithm.

In January, Perplexity revised its initial takeover offer for the popular short-form video app that would allow the U.S. government to own up to 50% of “NewCo,” the new company Perplexity is proposing, upon a future IPO.

The suggested deal aligned with what President Donald Trump proposed earlier that month -- “very simply, a joint venture,” in which ByteDance would contribute to TikTok U.S. (without its proprietary algorithm) and the federal government would own up to half of the entity once it IPOs at least $300 billion.

However, since its proposition, Perplexity has been overshadowed by Oracle, which has since emerged as the most likely company to buy TikTok.

Oracle has already worked with ByteDance on Project Texas, and was Trump's first choice as a potential buyer in 2020.