PerplexityAI Shifts Focus to Enterprise Clients and Subscriptions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy NVDA?
Source: Benzinga
- Revenue Model Shift: PerplexityAI is abandoning ads to focus on subscriptions and enterprise clients, aiming to achieve $200 million in annual recurring revenue (ARR) by 2025, which will provide a more sustainable revenue stream and enhance its market competitiveness.
- Enterprise Sales Team Expansion: The company currently has a five-person enterprise sales team and plans to grow it in the coming months to better serve high-powered professionals such as finance experts and CEOs, thereby improving customer satisfaction and revenue stability.
- Product Security Warning: PerplexityAI's CEO expressed concerns about the security of its AI browser, Comet, as audits revealed vulnerabilities when handling complex workflows, particularly when users exploit it to complete online courses and exams, raising the risk of misuse.
- Continued Free Access: Despite the shift towards enterprise clients, PerplexityAI will maintain free access with rate limits to retain its user base and attract more potential customers, ensuring a degree of user loyalty in a competitive market.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 182.810
Low
200.00
Averages
264.97
High
352.00
Current: 182.810
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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