With the impending ban on TikTok in the United States, Perplexity AI is the latest bidder hoping to give the video app a new corporate home. CNBC first reported on Perplexity’s interest. A source with knowledge of the deal confirmed to TechCrunch that Perplexity (CEO Aravind Srinivas pictured above) has submitted an offer to join TikTok US. The source also confirmed other details about the deal – it will create a new entity that combines Perplexity, TikTok US, and new equity partners; whether most investors in TikTok’s parent company ByteDance will be able to retain their equity; and by integrating them, Perplexity hopes to bring more videos to AI search engines. The law that requires ByteDance to sell TikTok or see it banned in the US will take effect on Sunday, January 19. This will be President Joe Biden’s last day in office, and officials from his administration say they will leave the real thing behind. the implementation of the ban “for the next Administration.” Meanwhile, President-elect Donald Trump, who will be inaugurated on Monday, said he would “likely” give TikTok a 90-day extension, and TikTok’s CEO posted a video thanking Trump for his efforts. However, TikTok said that without clearer assurances of non-enforcement from the Biden administration, it would be “forced to go dark” on Sunday. Although several buyers have expressed interest in TikTok, ByteDance has repeatedly said it does not intend to sell. (The company dismissed reports that the Chinese government was open to an acquisition by Elon Musk as “pure fiction.”) CNBC reports that Perplexity hopes to overcome those reservations by proposing a merger rather than a sale. TechCrunch has reached out to TikTok and Perplexity AI for comment.
