Perplexity's resilience and growth amid AI competition

In 2024, Perplexity was viewed as a potential acquisition target due to competition from OpenAI and Anthropic. However, by 2026, the AI startup has defied expectations, with Nvidia reportedly in talks to invest in a $30 billion valuation round, a 50% increase from its $20 billion valuation a year earlier. Perplexity’s annualized revenue has surged to over $750 million, up from under $250 million at the start of 2026. The company launched its Computer product in February, introducing AI agents and a usage-based pricing model, which led to a 50% revenue increase in one month. By March, annual recurring revenue reached $450 million, with enterprise customers numbering in the tens of thousands. Perplexity’s app saw a 45% increase in monthly active users, growing from 26.2 million in August 2025 to 37.9 million by February 2026. Despite a decline in website traffic, CEO Aravind Srinivas expressed confidence, stating the company plans to go public in 2028 regardless of competition from Anthropic and OpenAI.