A nearly 3-year-old AI startup has reportedly caught the attention of two of the largest and most influential tech companies, underscoring the fierce competition for AI talent and push to become leaders in what some believe will be the next major evolution of the internet.

The interest from both Silicon Valley giants raises an important question: why are they eyeing a much smaller company like Perplexity?

Apple is reportedly considering its most ambitious acquisition yet: AI startup Perplexity, whose AI-driven search engine and chatbot are among the leading ChatGPT alternatives with around 15 million users.