Smart search engine Perplexity AI needs serious muscle to grow. They just found it in Crusoe, who'll rent them a whole lot of computing power for years.
In 30 seconds
01Crusoe and Perplexity AI signed a multiyear agreement for cloud capacity provision.
02Crusoe will supply essential AI chips and software for the search engine's growth.
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What this means for you
For us users, it means services like Perplexity might become faster or more accurate. Ultimately, more computing power often translates to better answers (hopefully!).
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03The deal strengthens Crusoe's strategy in renting out artificial intelligence infrastructure.
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What happens to all this data? And who processes it?
Perplexity AI, that search engine that occasionally promises to make us forget Google, just sealed a major deal. It's a multiyear partnership with Crusoe, a company running data centers and providing computing power. Basically, Perplexity is buying the "muscles" needed to run its data-hungry algorithms.
Crusoe Energy Systems Inc. signed a multiyear contract with Perplexity AI Inc., an AI-powered search company. The agreement, whose financial terms were not disclosed, grants Perplexity access to significant cloud capacity. This includes specialized artificial intelligence chips and the necessary software. Who knows if it'll be enough; AI is an insatiable machine, isn't it?
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Why is Perplexity so hungry for chips?
Simple, artificial intelligence- especially for search- doesn't run on thin air. It needs an outrageous amount of computing power. Every single query, every generated answer, burns through massive energy and demands dedicated hardware. Just think how many servers are needed to keep us from waiting even a second longer than we should.
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Perplexity AI positions itself as a conversational search engine providing direct, cited answers, rather than a list of links. This approach requires complex language models and processing enormous amounts of information. Acquiring cloud capacity is vital to scale the service and handle traffic volume. In short, it's not a hobby, it's a high-speed business.
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And Crusoe, what's in it for them with these big computers?
Crusoe isn't just any data center operator. They have a specialty: powering their big computers using "wasted" energy, often natural gas that would otherwise simply be flared. This gives them a competitive edge, both economically and (on paper) environmentally. A neat way to say, "we turn a problem into profit."
Crusoe continues its push to win more business renting out artificial intelligence chips and related software. The company has made a name for itself by using excess natural gas, which would otherwise be released into the atmosphere, to power its data center operations. This model offers an interesting alternative to traditional cloud providers. After all, who wouldn't want some AI with a green (or almost) touch?
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