WASHINGTON (AP) — Perplexity AI has presented a new proposal to TikTok’s parent company that would allow the U.S. government to own up to 50% of a new entity that merges Perplexity with TikTok’s U.S. business, according to a person familiar with the matter.

Perplexity AI proposes a deal for the US government to own 50% of a new entity merging with TikTok's US business. The revised proposal allows ByteDance to retain some ties but excludes the algorithm.

The bankers definitely want in despite this being a heavy lift because the fees on an estimated $20-plus billion deal could be pretty rich.

Numerous potential buyers, including PerplexityAI and the internet advocacy group, Project Liberty, have publicly stated their interest in the app.

Under new plan, US government would acquire its stake during entity's initial public offering, which could be valued at $300B or more, local media reports - Anadolu Ajansı

There are reports that the United States government is looking to bring in software firm Oracle and US investors to take over TikTok’s operations in America. Oracle would take over the app’s algorithm,

Perplexity AI proposes to merge with TikTok to address national security concerns raised by the U.S. government. Perplexity AI, a U.S.-based search engine startup, has revised its merger proposal for TikTok’s U.

Perplexity AI proposes a merger with TikTok U.S., offering a new U.S. holding company where the U.S. government would own up to 50% post-IPO, excluding TikTok's core algorithm. The proposal aims to create 'NewCo',

A potential deal to restructure TikTok’s ownership could reshape its global operations, minimising Chinese influence while preserving its U.S. presence.

The aim is to place oversight control in the hands of American software company Oracle and other investors. Under federal law, TikTok must split apart from China, or face a nationwide ban.

Perplexity AI has revised its merger proposal with ByteDance to create a joint entity, offering the US government up to 50% equity during an IPO valued at $300 billion. ByteDance would sell TikTok US to investors while retaining its recommendation algorithm.

Congress voted to ban TikTok out of concern that TikTok's ownership structure represents a security risk, a ban upheld by the Supreme Court but