Artificial intelligence startup Perplexity has announced its interest in acquiring TikTok, with a key promise to completely rebuild its recommendation algorithm and make it open-source. In a public statement, Perplexity detailed its vision to combine its AI-driven internet search capabilities with TikTok’s vast video collection, aiming to create “the world’s premier search experience.” The San Francisco-based company believes it is uniquely positioned to overhaul TikTok’s algorithm while preserving competition in the short-video market. This development occurs amidst ongoing uncertainty about TikTok’s future in the United States, where a recently enacted law mandates the app’s sale or ban due to national security concerns. Washington has consistently alleged that ByteDance could be compelled to share American user data with the Chinese government or manipulate public opinion, claims that TikTok has consistently denied. U.S. President Donald Trump confirmed that multiple entities have expressed interest in acquiring TikTok. “We are engaging with four distinct groups. Many are interested, and the decision rests with me,” Trump stated during a flight on Air Force One, without identifying the potential buyers. Among the reported contenders is The People’s Bid for TikTok, a consortium supported by real estate and sports magnate Frank McCourt’s Project Liberty initiative. Other interested parties include Microsoft, Oracle, and a group led by internet personality Jimmy Donaldson, known as MrBeast. TikTok, which briefly ceased operations in the U.S. and was removed from app stores as the January deadline approached, resumed functioning after Trump temporarily suspended the enforcement of the ban for two-and-a-half months. The app subsequently returned to Apple and Google’s platforms in February. In its proposal, Perplexity cautioned that a consortium acquisition could allow ByteDance to maintain effective control over the platform’s algorithm. Conversely, a sale to a major competitor could lead to a monopoly in the short-form video market. “Society as a whole benefits when content feeds are freed from the manipulations of foreign governments and global monopolies,” the AI firm asserted. Perplexity further pledged to establish U.S.-based data infrastructure for TikTok, ensuring compliance with American regulations. The company also committed to making TikTok’s “For You” feed algorithm publicly accessible, enabling users to understand how content is recommended to them. Additionally, the startup proposed a feature that would allow users to fact-check information while watching videos, aiming to combat misinformation on the platform. It remains uncertain whether ByteDance is actively considering a sale, as TikTok has previously resisted similar divestiture attempts during Trump’s first term. However, with Washington continuing its regulatory push, the app’s future in the U.S. remains ambiguous.
