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Perplexity AI and Vercel Challenge Google and Microsoft with Cutting-Edge AI Search

ByHilary Ong

Feb 13, 2024

Perplexity AI and Vercel Challenge Google and Microsoft with Cutting-Edge AI Search

Perplexity AI, a California-based startup, has teamed up with Vercel, a leading web development platform, aiming to challenge the dominance of giants like Google and Microsoft.

This California-based startup is leveraging its expertise in artificial intelligence (AI) to craft a search and discovery engine that integrates seamlessly with Vercel, allowing developers to embed Perplexity’s advanced large language models (LLMs) into their projects.

About Vercel

Vercel, previously known as ZEIT, is renowned for its cloud services that empower developers to craft, deploy, and host web applications effortlessly. Specializing in the creation of AI-driven applications, Vercel provides comprehensive tools and services to support developers, including:

  • Recommendation Engines: Enabling personalized content recommendations for users.
  • Customer Service Chatbots: Automating customer support with AI-driven conversational agents.
  • Generative Content Platforms: Facilitating the creation of dynamic, AI-generated content.

To support these innovations, Vercel offers:

  • AI SDK: An open-source library that supports the development of conversational streaming interfaces in popular programming languages like JavaScript and TypeScript.
  • Generative UI Platform: A tool that helps bring developers’ visions to life with greater flexibility and creativity, complementing the AI SDK.

These tools empower developers to create more engaging and innovative web applications, making Vercel a pivotal platform in the evolution of AI-driven web development.

Diversifying Integration: Beyond Vercel’s Platform

Perplexity AI’s strategy involves more than just Vercel; it has actively sought collaborations with various AI hardware companies to embed its technology directly into their products. This aggressive push for integration highlights Perplexity’s ambition to make its AI-powered search capabilities widely accessible and to position itself as a key player in knowledge discovery. The integration with Vercel distinguishes Perplexity from other AI ventures by offering developers access to Perplexity’s API for online LLMs. These models draw from the vast expanse of the internet to provide timely and relevant information, making them ideal for applications requiring up-to-the-minute data.

Perplexity’s unique approach involves a robust search, indexing, and crawling infrastructure that augments LLMs with current and valuable information. By prioritizing high-quality and non-SEO manipulated sites, Perplexity ensures that users receive the most relevant content. The company’s efforts extend beyond mere search enhancements; it has also ventured into partnerships with companies like Brilliant Labs and Arc, integrating its AI into products ranging from AI-enhanced glasses to web browsers, thereby broadening the application of its technology.

The integration with Vercel opens up new possibilities for developers, offering a versatile SDK that supports a range of AI models and enabling the creation of dynamic AI applications. Vercel’s initiative includes partnerships with:

  • Perplexity AI: Providing developers access to advanced large language models (LLMs) like pplx-7b-online and pplx-70b-online for up-to-the-minute data and information.
  • ElevenLabs: Offering pioneering voice synthesis technology for creating realistic voice applications.
  • Modal, Replicate, Anyscale, Fal, Together AI, and LMNT: Each bringing unique AI capabilities ranging from computational models to AI-driven analytics, enhancing the breadth of tools available for developers.

This ecosystem provides developers with a rich set of tools to experiment with different AI capabilities, from text and image processing to potential future expansions into audio.

Backing from High-Profile Investors

Perplexity AI’s journey is marked by rapid growth and substantial financial backing, with a recent investment round led by Amazon founder Jeff Bezos boosting the company’s valuation to $520 million. This investment underscores the potential seen in Perplexity’s AI-driven search solutions, which aim to enhance user experience through a “Copilot” feature. This interface, akin to Google’s, engages users with clarifying questions to refine searches and deliver precise results. Perplexity’s ability to search specific sources and provide practical answers has set it apart in the competitive landscape.

Future Growth and Challenges

Despite the innovative strides, Perplexity faces challenges, including competition from established tech giants and concerns over AI-driven search reliability and the potential for misinformation. The AI search engine market is fraught with uncertainties, from the sustainability of business models to the reliability of search results in sensitive contexts.

Yet, Perplexity’s ambitious plans for growth, including expanding its team and product offerings, demonstrate a commitment to overcoming these hurdles and reshaping the way users interact with search engines.


Featured Image courtesy of DADO RUVIC/REUTERS

Hilary Ong

Hello, from one tech geek to another. Not your beloved TechCrunch writer, but a writer with an avid interest in the fast-paced tech scenes and all the latest tech mojo. I bring with me a unique take towards tech with a honed applied psychology perspective to make tech news digestible. In other words, I deliver tech news that is easy to read.