A Perplexity AI presented a new proposal for the acquisition of TikTok in the United States. This plan includes a new structure that would grant the U.S. government a significant stake in the social network.
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Proposal details
- The merger createdaria a new company called âNewCoâ, which combinesaria Perplexity AI with TikTok in the United States. It is estimated that this new company could be worth up to $300 billion after an initial public offering.
- acquire up to 50% of the shares of âNewCoâ. This shareholding was a crucial point in the previous negotiations.
- ByteDance, TikTok's current owner, would contribute to the social network's US operations but would maintain the core recommendation algorithm.
- Other potential buyers include Elon Musk, Oracle and Microsoft. To enable these negotiations, the application was temporarilyariamind restored in the United States for 75 days.
Why does it matter
Perplexity AI is quickly becoming an AI powerhouse, with the recent launch of its mobile assistant for Android and its new API. However, a merger with TikTok in the US would be by far its biggest move yet. However, with other tech giants such as Elon Musk, also interested in the acquisition, this proposal still faces major challenges.
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