Founded just two years ago, Perplexity AI has created an innovative AI-powered search engine that delivers conversational responses akin to ChatGPT, moving away from traditional list-based search results.

While Perplexity AI excels at pinpointing specific facts and elucidating complex topics, Google Gemini offers a wider array of functionalities, including image analysis and code generation.

To enhance user research capabilities, Perplexity has rolled out two new features: Internal Knowledge Search and Perplexity Spaces.

The company has experienced remarkable growth, handling around 15 million queries daily and projecting annual revenue to reach approximately $50 million, a significant jump from $10 million earlier this year.

Currently, Perplexity is in discussions to raise about $500 million in its fourth funding round, aiming to elevate its valuation to $8 billion or more after previously reaching $3 billion.

Investor interest has sparked these funding talks, initiated by investors rather than Perplexity actively seeking new capital.

Despite facing plagiarism accusations from major media outlets, the company has established revenue-sharing partnerships with publishers and adapted its citation practices.

The platform also provides tools for exploring financial data, including real-time stock quotes and historical earnings, catering to users in finance and business.

The new Spaces feature fosters collaboration by allowing users to invite others, share files, and customize AI assistance for various projects.

Perplexity's CEO, Aravind Srinivas, has acknowledged the need to improve the platform's accuracy, particularly in financial data, while praising its user interface.

The company's expansion into enterprise solutions has opened new revenue streams, showcasing the adaptability of its technology.

User adoption of Perplexity's tools is driven by their ease of use and the quality of answers, as the company competes against established players like Google.