How Perplexity Lost the Al Race

2:15 pm February 18, 2026 By Julian Horsey

Mondo examines the rise and fall of Perplexity, an AI search platform launched in 2022 that aimed to provide citation-backed answers without ads or SEO interference. Initially praised for its clean interface and transparent sourcing, Perplexity struggled to maintain momentum as it relied heavily on external AI models and faced stiff competition from industry giants like Google and OpenAI. These constraints, combined with mounting operational costs, ultimately hindered its ability to scale effectively.

This deep dive explores key challenges in Perplexity’s journey, including its difficulties with monetization, legal complications, and user trust. Mondo also reviews the platform’s missteps, such as the underwhelming performance of its AI-powered browser, Comet, and the broader implications of these decisions. By unpacking these elements, readers will gain insight into the complexities of sustaining a niche product in a competitive tech landscape.

Source: Perplexity vs Google AI Search: Why It Stayed a Niche Tool – Geeky Gadgets