Meta Discussed Buying Safe Superintelligence, Perplexity

As Meta Platforms sought to overhaul its artificial intelligence efforts earlier this year, it discussed buying or taking a major stake in several high-profile AI startups, including Safe Superintelligence Inc. and Perplexity, before ultimately striking a deal to invest $14.3 billion in data-labeling firm Scale and hire its CEO.

Meta is now in advanced talks to hire AI investors Nat Friedman and Daniel Gross, who is also a co-founder and CEO of SSI, and to partially buy out Friedman and Gross’ AI investment fund, which holds shares in SSI and Perplexity, among other startups.

Meta earlier this year held talks about buying SSI, which Gross co-founded last year with former OpenAI Chief Scientist Ilya Sutskever, according to a person familiar with the discussions. Meta CEO Mark Zuckerberg separately tried to hire Sutskever, they said.

SSI spoke with Meta as it was raising $2 billion in funding at a $32 billion post-money valuation, according to another person familiar with the discussions. It was also exploring whether Meta could provide it with servers to develop its technology, according to two people familiar with the discussions.

The discussions ended with Meta making a small investment in the startup, though that didn’t give Meta rights to receive information about SSI’s business or research progress, one of the people said.

Also earlier this year, Meta discussed an acquisition with AI search company Perplexity, according to two people familiar with the discussions. Perplexity recently closed a funding round at a $14 billion valuation. CNBC first reported on Meta’s talks with SSI. Bloomberg first reported on its talks with Perplexity.