Snap says its $400M deal with Perplexity ‘amicably ended’
AI-summarised brief · reviewed before publication
Snap has ended its $400 million deal with Perplexity, a company that was set to integrate its AI search engine into Snapchat. The deal, announced in November, would have seen Perplexity pay Snap in cash and equity over one year. Snap's sales guidance now assumes no contribution from Perplexity, and the company's growth was attributed to new features across the app. Snapchat's global daily active users rose 5% year-over-year to 483 million.
💡 Why It Matters
- · The abrupt end of the deal highlights the challenges of integrating AI technology into existing platforms, and the risks of relying on partnerships for growth.