Perplexity eyes TikTok takeover, pledges open-source approach

SAN FRANCISCO: AI startup Perplexity has announced its interest in buying TikTok, promising to make its recommendation algorithm open-source, as the video-sharing app faces a US deadline to cut ties with its Chinese owner or risk being banned.

Perplexity, in a blog post, outlined a vision for integrating its AI-powered internet search capabilities with the popular video-sharing app.

"Combining Perplexity’s answer engine with TikTok’s extensive video library would allow us to build the best search experience in the world," the San Francisco-based firm stated.

"Perplexity is uniquely positioned to rebuild the TikTok algorithm without creating a monopoly, combining world-class technical capabilities with Little Tech independence."

President Donald Trump earlier this month said the United States was in talks with four groups interested in acquiring TikTok, as the Chinese-owned app faces an uncertain future in the country.

A US law has ordered TikTok to divest from its Chinese owner ByteDance or be banned in the United States.

"We’re dealing with four different groups. And a lot of people want it, and it’s up to me," Trump said aboard Air Force One.

"All four are good," he added, without naming them.

The law banning TikTok took effect on 19 January over concerns that the Chinese government could exploit the video-sharing platform to spy on Americans or covertly influence US public opinion.

During his first term in the White House, Trump similarly attempted to ban TikTok in the United States on national security grounds.

TikTok temporarily shut down in the United States and disappeared from app stores as the deadline for the law approached, to the dismay of millions of users.

Trump suspended its implementation for two-and-a-half months after beginning his second term in January, seeking a solution with Beijing.

TikTok subsequently restored service in the United States and returned to the Apple and Google app stores in February.

Although TikTok does not appear overly motivated to sell the app, potential buyers include an initiative called The People’s Bid for TikTok, launched by real estate and sports tycoon Frank McCourt’s Project Liberty initiative.

Other contenders include Microsoft, Oracle, and a group led by internet personality MrBeast, whose real name is Jimmy Donaldson.

"Any acquisition by a consortium of investors could, in effect, keep ByteDance in control of the algorithm, while any acquisition by a competitor would likely create a monopoly in the short-form video and information space," Perplexity argued in the post.

"All of society benefits when content feeds are liberated from the manipulations of foreign governments and globalist monopolists."

Perplexity stated it would build infrastructure for TikTok at data centres in the United States and maintain it under US oversight.

The AI startup also proposed rebuilding TikTok’s winning algorithm "from the ground up," making the app’s "For You" recommendation feed open-source.

Perplexity further pledged to enable TikTok users to cross-reference information as they watch videos to verify accuracy.