Perplexity AI Stuns Tech World with $34.5B Hostile Takeover Bid for Google Chrome

Silicon Valley just got a new plot twist—AI upstart Perplexity throws down the gauntlet with a browser war nuclear option.

The audacious $34.5 billion offer would make this the biggest tech acquisition since Broadcom-VMware. Chrome’s 65% market share suddenly looks like a target rather than a moat.

Wall Street analysts are already placing bets on whether this is visionary disruption or dot-com era hubris. ‘Either way, someone’s getting a golden parachute,’ quipped one hedge fund manager while shorting Alphabet stock.

The move comes as AI-native browsers threaten to render traditional search obsolete. Perplexity’s valuation doubled twice this year—apparently they’re spending those paper gains like monopoly money.

Google’s response? A terse ‘we don’t comment on rumors’ statement that did nothing to stop the 3% after-hours stock dip. Meanwhile in Mountain View, 10,000 Chrome engineers just updated their LinkedIn profiles.

One thing’s certain: the browser wars just went from incremental updates to existential cage match. Place your bets—the house always wins.

TLDRs

• Perplexity AI offers $34.5B to acquire Google Chrome, shocking the tech industry and raising eyebrows.
• Bezos-backed AI firm aims to promote open web and user choice through potential Chrome takeover.
• Industry experts question whether Chrome is even for sale, calling the offer a “stunt.”
• Google’s dominance faces scrutiny as Perplexity pledges continuity and safety for Chrome users.

Artificial intelligence start-up Perplexity AI has made a surprise $34.5 billion (£25.6 billion) bid to acquire Google Chrome, the world’s most widely used web browser.

The three-year-old firm counts Amazon founder Jeff Bezos and chip-maker Nvidia among its backers and is led by former Google and OpenAI employee Aravind Srinivas.

The bid comes at a time when Google faces mounting scrutiny over its search engine and online advertising dominance, including two ongoing antitrust cases in the United States. Chrome alone boasts an estimated three billion users worldwide, making it a highly valuable asset.

Experts Question Offer’s Seriousness

Despite the fanfare, several industry figures have expressed skepticism about the seriousness of the proposal.

“I love their boldness, but this is an unsolicited bid and is not actually funded yet,” Judith MacKenzie, head of Downing Fund Managers, told the BBC.

Technology investor Heath Ahrens described it as a “stunt” far below Chrome’s actual value, highlighting that the platform may not even be for sale.

Tomasz Tunguz from Theory Ventures suggested the true value of Chrome could be “maybe ten times more” than Perplexity’s bid. Even so, some speculate that if high-profile figures like Sam Altman or Elon Musk were involved, the bid could gain credibility and potentially reshape the AI and browser markets.

Perplexity Emphasizes Open Web Commitment

In a letter addressed to Google’s parent company Alphabet and CEO Sundar Pichai, Perplexity emphasized its commitment to maintaining user choice and browser continuity.

The company pledged to keep Google as the default search engine within Chrome while allowing users to adjust their settings freely. It also promised to continue supporting Chromium, the open-source platform that underpins Chrome as well as other popular browsers like Microsoft Edge and Opera.

Perplexity framed the move as a public benefit, suggesting that moving Chrome to an independent operator focused on safety WOULD serve the interests of billions of users. A company spokesman said the bid represents “an important commitment to the open web, user choice, and continuity for everyone who has chosen Chrome.”

AI Startup’s Bold Ambitions

Perplexity has been making waves in the generative AI space, competing alongside platforms such as OpenAI’s ChatGPT and Google’s Gemini. Last month, it launched Comet, an AI-powered browser, further signaling its ambitions to influence the way people access and interact with the internet.

However, the company has faced controversies, including accusations from media organizations like the BBC of reproducing content without permission. Earlier this year, Perplexity also made headlines by offering to buy the American version of TikTok, which faces a U.S. sale deadline this September.

While questions remain over how the proposed deal would be financed, the offer marks one of the most audacious moves by a relatively young AI firm in recent tech history, challenging the dominance of one of the world’s largest technology companies.

A U.S. federal judge is expected to rule this month on whether Google must restructure parts of its search business, a development that could affect the feasibility of any potential Chrome sale. Google has stated it would appeal any such ruling, calling the idea of spinning off Chrome “unprecedented” and potentially harmful to consumers and security.