Perplexity AI's revised TikTok bid could give U.S. government 50% stake

(Reuters) -- U.S. search engine startup Perplexity AI has revised a merger proposal submitted to TikTok's Chinese parent ByteDance to create a new entity combining Perplexity and TikTok U.S., a person familiar with the proposal told Reuters on Sunday.

The proposal calls for the U.S. government to own up to 50% of the new company upon a future initial public offering (IPO), the person said.