My lifetime basketball shooting percentage is probably 0.0002%, but I'm here to challenge LeBron James to a one-on-one game of hoops.
…This is pretty much the same as a startup company looking at Google's search dominance and saying, “Of course we can accommodate them.”
Few companies in any industry can match Google's global market share (~92%), it is very difficult to bet on them. However, a new challenger, Perplexity, is poised to take the throne.
It plans to do that by putting an additional $74 million in the bank. around wall street journal, It has shaken up prominent investors including chip giant Nvidia, Jeff Bezos, and former YouTube CEO Susan Wojcicki.
Why are they betting on Perplexity?
Of course it's AI. We're used to search engines providing us with tons of links to page through and find the best information. Perplexity cuts out the middleman and provides concise, direct, AI-powered responses to any query.
Perplexity considers itself an “answer engine” rather than a “search engine,” and its streamlined approach, which went live in December 2022, has attracted considerable attention.
- that claimed By 2023, it will reach 10 million monthly active users and process more than 500 million queries.
- The latest funding round is $25.6 million The company increased its capital in March last year, bringing the company's valuation to $520 million.
Of course, these numbers pale in comparison to industry standards. Google processes ~8.5 billion search every daywhose parent company Alphabet is valued at $1.7 trillion.
So what happens next?
Perplexity faces tough challenges as it seeks to gain a foothold in a market that has eluded deep-pocketed challengers like Microsoft and Yahoo.
- A sustainable business model needs to be established. The startup is generating revenue from $5 million a year to $10 million a year, but is currently not profitable.
- Perplexity must develop a product that is reliable enough to avoid user concerns. AI illusion.
- You must expect Google's own AI summarization feature under development Their stuff won't be redundant.
- And it should generally aim to avoid such a fate. Nivaa similar product that crashed last spring.
finally: Is an article about competing with Google really complete without some nostalgia remembering its potential enemies: AltaVista, Ask Jeeves, Lycos, Dogpile, WebCrawler? Here you go. No, you're welcome!
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