AI startup Perplexity made an unsolicited all-cash offer of $34.5 billion to acquire Google’s Chrome web browser on Tuesday.
The bid comes at a critical time for Google, which is facing intense regulatory pressure and a potential court-ordered divestiture of Chrome following a U.S. antitrust ruling.
The offer, made to Google parent company Alphabet, is more than double Perplexity’s own reported valuation of approximately $18 billion.
Perplexity CEO Aravind Srinivas has stated that the acquisition is “designed to satisfy an antitrust remedy in highest public interest by placing Chrome with a capable, independent operator.”
The San Francisco based startup proposal is not just about the price tag. The company has outlined a series of commitments aimed at easing concerns from both regulators and users.
These include a pledge to invest $3 billion over two years in Chrome’s development, keeping the underlying Chromium code open-source, and, crucially, maintaining Google as the default search engine within Chrome while still allowing users to change it.
The timing of the offer is no coincidence. A federal judge previously ruled that Google holds an illegal monopoly in internet search, and a decision on a potential remedy, including the forced sale of Chrome, is expected soon.
While Google has not yet publicly responded to the offer, analysts believe a sale is highly unlikely without a prolonged legal battle. Google has consistently pushed back against the idea of selling Chrome, arguing that it would harm its business and could even pose a risk to national security.
