Apple and Samsung are both interested in the same AI firm

While other smartphone brands are racing to catch up to Samsung in terms of AI-powered features, Apple appears to be lagging behind. The iPhone maker is struggling to launch the next-generation Siri that is powered by large language models (LLMs). It now seems that Apple is interested in the same AI firm that Samsung has been in talks with for a significant investment.

It was recently reported that Samsung has neared a deal to invest in Perplexity to integrate its AI technologies in Galaxy phones. Now, a report from The Information claims that Apple has discussed acquiring Perplexity, which is currently valued at $18 billion. There are only two instances when Apple spent $1 billion or more on acquisitions: $1 billion for Intel's modem business in 2019 and $3 billion for Beats in 2014.

Apple also contemplated purchasing Mistral, and that Eddy Cue, who is the senior vice president of Apple's Services division, is the most vocal advocate of a deal to buy AI firms. Nothing has been finalized yet, as Apple's software chief Craig Federighi thinks the company can develop its own AI technology.

Perplexity offers an AI-powered search engine. Unlike Google's conventional search results that offer lists of links related to the search term, Perplexity offers direct answers with necessary citations. It is increasingly rising as the choice for research and an alternative to Google Search.

Samsung recently started offering a one-year subscription to Perplexity Pro for free to Galaxy users in the USA. The South Korean firm reportedly wants to bring Perplexity integration to Bixby and Samsung Internet. A top Samsung executive confirmed that Gemini won't be the only AI assistant on the Galaxy S26 series.