Perplexity AI: Either Brilliant or Screwed

Author(s): M

Originally published on Towards AI.

What’s up with Perplexity?

Right now, Perplexity AI is doing something that looks either incredibly smart or completely insane. In early October 2025, they made their Comet browser completely free after charging $200 a month for it just three months earlier. At the same time, they’re fighting lawsuits from publishers on three continents and just raised $200 million at a $20 billion valuation.

The article discusses Perplexity AI’s bold strategies, including making their Comet browser free while facing lawsuits from major publishers over copyright issues. Despite significant growth in query processing and revenue, the company is under scrutiny for its business practices, requiring a balancing act to satisfy both users and content creators. The piece examines the challenges ahead, including potential resolutions to legal disputes and the need for Perplexity to establish sustainable revenue streams while competing with established tech giants.

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Published via Towards AI