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Perplexity sees India as a shortcut in its race against OpenAI

Perplexity is expanding in India, partnering with Bharti Airtel to offer a free year of its services to 360 million subscribers, aiming to tap into the country's vast market as a strategy against OpenAI. With a 600% rise in downloads, Perplexity focuses on building its user base despite current revenue challenges, recognizing India's mass-market potential amid limited local competition in AI search.

Key points

  • 1. Perplexity expands into India to compete against OpenAI, leveraging the country's large internet user base.
  • 2. Partnership with Bharti Airtel provides 360 million subscribers a free 12-month subscription to Perplexity Pro.
  • 3. Downloads in India increased by 600% year-over-year, while ChatGPT saw only a 587% increase.
  • 4. Monthly active users for Perplexity in India grew by 640%, compared to ChatGPT's 350%. However, ChatGPT leads in absolute user numbers.
  • 5. Perplexity has partnered with over 25 telcos globally as part of its expansion strategy.
  • 6. The revenue gap remains significant: ChatGPT generated substantially more in-app revenue than Perplexity.
  • 7. Limited local AI search competition in India presents an opportunity for Perplexity.

Why it matters

  • The rise of AI technologies in India echoes the global trend where countries are investing in AI development.
  • In 2025, AI and tech investments are rapidly increasing, with events like TechCrunch Disrupt focusing on startup growth.
  • India's digital economy has been bolstered by an increasing smartphone user base, which presents opportunities for tech startups.
  • The focus on user acquisition in emerging markets mirrors strategies that many tech companies have utilized in global expansion.

Perplexity's strategic push into India showcases the potential for AI startups in rapidly growing markets, aiming to overcome current revenue challenges by leveraging user growth through significant partnerships, ultimately positioning itself against established competitors like OpenAI.