Perplexity AI has submitted a revised proposal to merge with TikTok, in an association that may give the U.S. authorities as much as 50 p.c possession of the brand new entity.
The Related Press first reported on the brand new proposal. A supply with information of the bid confirmed to TechCrunch that the AP’s reporting is correct.
The AI search engine had beforehand proposed creating a brand new firm by combining Perplexity, TikTok US, and extra fairness buyers. Below the brand new bid, the federal government would obtain its stake after an preliminary public providing of a minimum of $300 million, whereas TikTok’s present Chinese language proprietor ByteDance might additionally retain possession, in accordance with the AP.
Perplexity reportedly revised its bid primarily based on suggestions from President Donald Trump’s administration.
TikTok briefly went down final weekend as a consequence of a regulation forcing ByteDance to promote the app or see it banned in america. It sprang again to life after Trump stated he would signal an government order extending the sale deadline. He additionally stated he’d prefer to see the U.S. obtain “50% possession,” though it wasn’t clear whether or not he meant the federal government or U.S. buyers.
One other report this week urged that the White Home was negotiating a deal that may see Oracle (which already gives the infrastructure for TikTok’s U.S. visitors) take over; when requested, Trump stated he’s spoken to “many individuals about TikTok” however “not with Oracle.”
