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Perhaps no-one could answer my question in [0] because many (including me) knew OpenAI would release their own search engine; eventually in [0].

"Who can tell me how and why is Perplexity.ai is worth $1BN? How much revenue are they making vs the amount of money they are burning? What is the justification of this valuation?" [0]

At this point with this unsurprising announcement, Perplexity is worth <$50M.

[0] https://news.ycombinator.com/item?id=40313461




It is worth $1BN because people who invested in it, think it is worth that much.


Company valuations never have an explanation. At all. It's all whatever people at the moment guessed, usually with so little information that you'd be infuriated.

For non-traded companies, it's even worse, because it's less people, at fewer moments, and they don't even need to be honest. As a first approximation, non-traded companies do not have a valuation, any number you get is bullshit and you can get something with the same accuracy by just asking ChatGPT.




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