India has emerged as Perplexity AI's largest user base, a pivotal factor in the company's overall growth. This surge in adoption is largely attributed to the bundling of Perplexity Pro with Airtel services, significantly boosting its accessibility across the country. Building on this momentum, Perplexity AI is now planning to launch a dedicated fund to support Indian startups, signaling a deeper commitment to the Indian AI ecosystem.
Perplexity AI's strategic focus on India involves multiple facets. CEO Aravind Srinivas has personally pledged to dedicate five hours each week to support AI development within India, alongside a $1 million investment. This commitment underscores the company's belief in the potential of the Indian market and its desire to foster local innovation. In January 2025, Srinivas announced plans to recruit an Indian executive to spearhead the company's growth initiatives in the region, though the hiring process was later put on hold due to an overwhelming response.
The company's expansion strategy includes partnerships with major Indian entities. A notable collaboration with Bharti Airtel provides Airtel's 360 million customers with a free 12-month subscription to Perplexity Pro. This exclusive deal aims to introduce a vast audience to Perplexity's AI-powered search capabilities. Additionally, Perplexity has partnered with the Indian fintech company Paytm, integrating its AI search engine into the Paytm app, which boasts over 500 million downloads. These strategic alliances are designed to accelerate user acquisition and establish a strong foothold in the Indian market.
Perplexity AI's approach in India reflects a broader strategy of targeting emerging markets to challenge established players in the AI search space. While OpenAI has largely focused on the US market, Perplexity is making a calculated move to capture the vast user base in India, which represents the world's second-largest internet and smartphone market. This strategy recognizes that user acquisition, particularly in emerging markets, is crucial for long-term success in the AI race.
Despite its rapid user growth in India, Perplexity faces the challenge of converting free users into paying subscribers in a price-sensitive market. While ChatGPT has seen significant in-app purchase revenue in India, Perplexity has yet to generate substantial revenue from this source. The company's strategy of offering free Pro subscriptions through partnerships aims to build a large user base that can be monetized over time.
Perplexity AI's product philosophy centers on providing accurate, well-researched answers and fostering a continuous pursuit of knowledge. The company aims to create an AI that can assist users in knowledge discovery, moving beyond traditional search engines to offer a more informative and interactive experience. Perplexity's AI-first browser, Comet, which is now available to Pro subscribers in India, exemplifies this vision. Comet combines a traditional browsing experience with an AI sidebar that can automate tasks, summarize information, and facilitate online transactions.
Aravind Srinivas's journey to building Perplexity AI is rooted in his background in AI and his desire to create a tool that provides reliable information. Srinivas, an IIT Madras graduate, previously worked at DeepMind, Google, and OpenAI before co-founding Perplexity AI in 2022. His vision for Perplexity is to empower individuals with AI that can augment their knowledge and decision-making processes.
