Perplexity AI has proposed merging with TikTok's US operations, allowing the US government to own up to 50% of the new entity without voting rights. The plan aims to maintain ByteDance's connection to TikTok while ensuring a US-based board.

Perplexity AI has revised its merger proposal to ByteDance, TikToks Chinese parent company, aiming to create a new U.S.-based entity, according to sources. The plan suggests that the U.S. government could own up to 50%