Official announcement from ByteDance or Perplexity AI

Perplexity AI Proposes $50 Billion Merger with TikTok U.S.; Trump May Extend Deadline

Jan 18, 2025, 08:08 PM

Perplexity AI, a relatively unknown tech firm backed by Jeff Bezos and Nvidia, has submitted an eleventh-hour bid to merge with TikTok U.S., according to sources familiar with the matter. The proposal, submitted to TikTok's parent company ByteDance, would create a new entity combining Perplexity AI, TikTok U.S., and New Capital Partners. The deal, which could value TikTok U.S. at over $50 billion, aims to prevent an impending shutdown of the popular social media platform in the United States. The merger would allow ByteDance's existing investors to retain their equity stakes and expand Perplexity AI's video presence. President Donald Trump is set to make an announcement and may grant a 90-day extension to finalize the deal.