“Big Tech will copy anything that works.”

Perplexity CEO Aravind Srinivas Cautions AI Startups: “Big Tech Will Imitate Anything That Works”

The420.in
3 Min Read

Speaking at Y Combinator’s AI Startup School, Aravind Srinivas, the co-founder and CEO of Perplexity, delivered a blunt message to aspiring entrepreneurs: “Big Tech will copy anything that works.” Srinivas underscored the harsh reality of the AI sector, where successful ideas are rapidly replicated by industry leaders such as Google, Meta, and OpenAI.

Addressing a crowd that included students, researchers, and startup founders, Srinivas said that if a startup can generate revenues in the hundreds of millions—or even billions—it is almost certain that a major player will attempt to duplicate its success. “You will have to learn to live with that fear,” he added.

How Perplexity Led with Innovation

Srinivas offered a real-world example from Perplexity’s own journey. When the startup launched in December 2022, it was among the first to introduce a chatbot equipped with real-time web browsing—a feature designed to provide up-to-date, factual answers rather than relying solely on static, pre-trained data. This positioned Perplexity not just as a chatbot but as an “answer engine.”

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That innovation quickly caught on. Within months, major competitors followed suit. Google introduced browsing in Bard (now Gemini) three months later, OpenAI integrated browsing into ChatGPT by May 2023, and Anthropic’s Claude also adopted real-time search functionality soon after.

Imitation as a Signal of Success

While Srinivas acknowledged that being copied by tech giants can be disheartening, he also framed it as a marker of success. “It means you’re doing something right,” he said. Still, he stressed the importance of resilience. Founders must stay agile, original, and build deep user trust—elements that are harder for big companies to mimic and that can offer a lasting competitive edge.

Srinivas encouraged entrepreneurs to embrace disruption and stay ahead by continuously evolving. “Speed matters. Originality matters. Trust matters,” he emphasized.

The Race Continues: What’s Next

As the AI arms race intensifies, the lines between traditional and AI-enabled web experiences are blurring. OpenAI is reportedly preparing to launch its own web browser, further integrating conversational AI into everyday digital tasks such as form filling and bookings. This strategic move reflects how large firms are embedding themselves deeper into user routines.

Srinivas’s parting message to the next generation of innovators was clear: duplication by Big Tech is inevitable, but it’s how startups respond, with creativity, adaptability, and trust, that will determine their longevity.

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