Perplexity Acquires Visual Electric to Expand AI Design Capabilities
Perplexity AI, a leading AI-powered search and conversational platform, has acquired Visual Electric, a Sequoia-backed AI design startup. This acquisition is part of Perplexity’s strategy to enhance its AI ecosystem with advanced creative tools, allowing users to generate and manipulate multimedia content seamlessly.
Perplexity’s acquisition of Visual Electric underscores its commitment to enhancing user experience through advanced AI tools. This strategic move aligns with the recent launch of Perplexity’s Email Assistant, a feature designed to automate inbox management by drafting replies, scheduling meetings, and organizing emails in Gmail and Outlook. The development of such innovative features is supported by Perplexity’s $200 million funding round, which elevated its valuation to $20 billion, reflecting strong investor confidence in its vision and capabilities.
The move reflects Perplexity’s ambition to diversify its offerings beyond search and chat-based AI, entering the fast-growing space of AI-driven design and content creation.
About Visual Electric
Founded in 2022, Visual Electric is an AI startup created by former employees of Facebook, Dropbox, Apple, and Microsoft. Its platform enables designers and creators to generate and edit images and videos on an infinite canvas, leveraging cutting-edge AI algorithms for creative workflows.
The startup’s innovative approach has drawn attention for its potential to redefine digital design processes, making creative tools more intuitive and AI-powered.
Strategic Impact of the Acquisition
By acquiring Visual Electric, Perplexity AI can now integrate design-focused AI capabilities into its platform. This expansion enables Perplexity to:
- Provide creative AI tools alongside search and conversational AI features.
- Enhance multimedia content generation, including images and videos.
- Offer a more comprehensive AI ecosystem, catering to users seeking creative and practical applications.
This acquisition positions Perplexity to compete more effectively in the generative AI market, bridging the gap between conversational AI and AI-assisted creative workflows.
Formation of the Agent Experiences Group
The Visual Electric team, led by co-founders Colin Dunn and Adam Menges, will join Perplexity to form a new Agent Experiences group. This team will focus on:
- Developing innovative consumer experiences that combine design and AI tools.
- Creating next-generation multimedia solutions integrated into Perplexity’s AI platform.
- Enhancing user engagement by providing seamless, AI-driven creative workflows.
The integration of Visual Electric’s talent ensures that Perplexity can move quickly in developing cutting-edge creative AI features.
Transition for Visual Electric Users
Visual Electric will wind down its platform over 90 days, allowing existing users to:
- Retain access to their accounts and ongoing projects.
- Export data and content before the service shuts down.
- Receive prorated refunds for annual subscriptions.
This transition plan ensures a smooth migration while Perplexity integrates Visual Electric’s technology into its ecosystem.
Conclusion
The acquisition of Visual Electric is a major milestone for Perplexity AI, signaling its expansion into AI-driven design and multimedia creation. By combining search, conversational AI, and creative tools, Perplexity is positioning itself as a comprehensive AI platform for both productivity and creativity.
This strategic move strengthens Perplexity’s standing in the fast-evolving AI landscape, enabling it to offer users innovative solutions that span content creation, design, and intelligent search capabilities.