Perplexity AI has made a bold $34.5 billion all-cash offer for Alphabet’s Chrome browser. The move comes despite the browser not being up for sale. The proposal, far exceeding Perplexity’s own valuation, highlights the startup’s ambition to capture Chrome’s massive user base in the AI-driven search race.
Perplexity, led by CEO Aravind Srinivas, has a history of ambitious bids. Earlier this year, the company offered to merge with TikTok US to address U.S. concerns about the app’s Chinese ownership.
Other interested parties include OpenAI, Yahoo, and private-equity firm Apollo Global Management. These companies see Chrome as strategic, especially as regulatory actions threaten Google’s market dominance. Alphabet has not commented, but the company plans to appeal last year’s U.S. court ruling that deemed it held an unlawful search monopoly. The Justice Department has pushed for Chrome’s divestiture as a possible remedy.
How the Deal Would Work
Perplexity did not reveal funding details but noted that multiple funds have pledged full financing. The company has raised about $1 billion so far from investors like Nvidia and SoftBank. Its last valuation was $14 billion, much lower than the proposed bid.
The offer includes a promise to keep Chromium open source, invest $3 billion over two years, and maintain Chrome’s default search engine. According to Perplexity, the bid aims to preserve user choice and reduce future competition concerns.
Chrome currently serves more than three billion users, making it a powerful entry point for AI-integrated search. Perplexity already operates an AI browser called Comet, and acquiring Chrome would strengthen its position against rivals such as OpenAI, which is also developing an AI browser.
Legal and Market Hurdles
Analysts remain skeptical about Google agreeing to sell Chrome. They argue that the browser is central to Google’s AI plans, especially with features like AI-generated search summaries designed to protect its market share.
Herbert Hovenkamp, a professor at the University of Pennsylvania Carey Law School, commented on the legal outlook:
“Judge Mehta is a pretty orthodox guy. It’s very possible that he would hold off on requiring a sale until the appeals process is worked out and that could be a very lengthy period of time.”
He added that the case could reach the Supreme Court, potentially dragging on for years. Meanwhile, DuckDuckGo CEO Gabriel Weinberg estimated Chrome’s value at $50 billion or more if a sale ever became mandatory.
