Snap's $400 million deal with Perplexity is dead
Key takeaways
- Samuel Boivin/Shutterstock Snap's $400 million deal with Perplexity to put the AI search engine directly in Snapchat is dead.
- The two companies first announced the partnership last November, with plans to make Perplexity's AI search technology a prominent part of the Snapchat app.
- Perplexity didn't immediately respond to a request for comment.
Samuel Boivin/Shutterstock Snap's $400 million deal with Perplexity to put the AI search engine directly in Snapchat is dead. The two companies "amicably ended the relationship" earlier this year, Snap disclosed in its latest earnings report.
The two companies first announced the partnership last November, with plans to make Perplexity's AI search technology a prominent part of the Snapchat app. Snap said at the time that it expected to start seeing revenue from the partnership in "early 2026." The feature began testing in Snapchat, but was never fully rolled out, according to a help page. The deal has been on shaky ground for some time, with the Snapchat maker saying earlier this year that the two sides had "yet to mutually agree on a path to a broader roll out."
Perplexity didn't immediately respond to a request for comment.