Perplexity AI Surges as Frustrated Users Ditch Traditional Browsers
Search gets disrupted—again. Perplexity AI's user base explodes as Chrome fatigue sets in and privacy-conscious surfers jump ship.
The Google slayer? Not yet. But with Big Tech's ad-driven models creaking under regulatory weight, this upstart's growth hints at a market ripe for disruption—even if VCs will inevitably inflate it into a bubble.
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As a result, the company is preparing to launch Comet, which is a new agentic search engine that can help complete tasks for users. In addition, Srinivas noted on X that Comet will soon include features such as meeting recordings, transcription, and search, although these will not be available in the initial release. Nevertheless, Perplexity is working hard to polish the product, with a release expected in about three to five weeks.
It is also worth noting that Perplexity is backed by investors such as Nvidia (NVDA) and Amazon (AMZN) founder Jeff Bezos, and is reportedly closing a funding round that would value it at $14 billion, up from $9 billion in December. Moreover, the search engine recently added a new feature that allows in-chat purchases via PayPal (PYPL) or Venmo. Still, despite Perplexity’s growth, Google still dominates the market with about 90% global market share, followed by Microsoft’s (MSFT) Bing at around 4%.
Which Stock Is the Better Buy?
Turning to Wall Street, out of the stocks mentioned above, analysts think that NVDA stock has the most room to run. In fact, NVDA’s average price target of $172.36 per share implies more than 21% upside potential. On the other hand, analysts expect the least from MSFT stock, as its average price target of $514.27 equates to a gain of 9.2%.
