Perplexity Grows Its Publisher Program
Perplexity, an AI-driven search engine, is growing its publisher program by partnering with major news outlets, including the LA Times, Adweek, Mexico News Daily, and several others. The program allows publishers to share ad revenue and track content performance using provided metrics, provided they remain in the program.
New Partners Join the Fold
Among the notable new entrants to Perplexity’s publisher program are Pris Media, Lee Enterprises, The Independent, Blavity, Gear Patrol, and RTL Germany brands NTV and Stern. Despite these partnerships, some participating newsrooms, like those at LA Times and Adweek, report that their editorial teams were not consulted prior to the agreements, sparking confusion and skepticism among staff.
“We would not be able to serve factual, valuable answers without news organizations continuing to report on different topics,” said Jessica Chan, Perplexity’s head of publisher partnerships. “We’re excited to welcome these new publishers to the program.”
Tensions with Major Publishers
While expanding partnerships, Perplexity continues to face legal scrutiny. The New York Times previously sent a cease-and-desist letter, alleging unauthorized access to its content. Other major publishers like Dow Jones and The New York Post have filed lawsuits against Perplexity, accusing it of profiting from their work without proper permissions.
These legal tensions stem from how Perplexity aggregates and synthesizes content, sometimes pulling from paywalled articles or inaccurately paraphrasing stories. Such practices have led to accusations of "content kleptocracy," with publishers claiming that the search engine competes with them for audience attention while using their own material.
A Competitive Market
Perplexity’s efforts come amid rising competition in the AI-powered search space. OpenAI, for example, has launched ChatGPT Search, which offers publishers more control over how their content is displayed. Unlike OpenAI, Perplexity has yet to provide significant updates on its promised content management features, which could put it at a disadvantage.
Financial Growth and Optimism
Despite challenges, Perplexity is optimistic about its future. The company claims it now handles 20 million queries per day, a significant increase from the 2.5 million daily queries at the start of the year. Additionally, Perplexity is reportedly raising $500 million in funding at a $9 billion valuation, though its annual recurring revenue was only $50 million as of October.
Moving Forward
As Perplexity expands its publisher program, it will need to balance growing partnerships with addressing legal disputes and operational transparency. Its success will hinge on maintaining goodwill with publishers while differentiating itself in an increasingly competitive AI search market.