Nvidia is in discussions to invest in artificial intelligence startup Perplexity as part of a funding round that could value the company at more than $30 billion, The Information reported on Sunday, citing people familiar with the talks.
The financing round is expected to be worth billions of dollars and would raise Perplexity’s valuation by more than 50% from its previous funding round, according to the report.
Perplexity was valued at about $20 billion in its previous funding round last year, making the potential deal a significant increase in investor expectations for the AI search and technology company.
The talks come as Nvidia and Perplexity have strengthened their business relationship amid growing demand for AI infrastructure and applications.
Perplexity’s annualised revenue has also surged to more than $750 million, up from less than $250 million at the beginning of the year, The Information reported.
The rapid growth has been driven partly by Perplexity Computer, an AI agent designed to help professionals automate computer-based tasks.
A potential investment by Nvidia would further deepen the chipmaker’s ties with one of the fast-growing companies in the generative AI sector, while giving Perplexity additional financial backing as it expands its products and infrastructure.
The discussions remain ongoing, and the terms of any potential investment could change.
