Apple Considers Major AI Acquisitions Amid Strategic Shift
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By The Venture Focal | Summary based on original reporting by Reuters (26 August 2025)
Apple has internally discussed the possibility of acquiring artificial intelligence startups Mistral and Perplexity, according to a report by The Information, cited by Reuters. These discussions mark a significant departure from Apple’s historically cautious approach to mergers and acquisitions, especially in the AI and infrastructure space.
The company’s leadership, including CEO Tim Cook, appears to be reassessing its M&A posture in response to increasing pressure from competitors such as Microsoft, Google, and OpenAI. Although Apple has made seven smaller AI-related acquisitions so far in 2025, the potential purchases of Mistral or Perplexity would represent a shift towards higher-profile, strategic deals with significant product implications.
Mistral, a Paris-based AI firm, is backed by Nvidia and recently raised capital at a valuation exceeding 6 billion US dollars. Reports suggest its next round could push its valuation closer to 10 billion US dollars. Perplexity, a US-based AI search startup, has drawn similar attention and is also backed by Nvidia, along with Amazon founder Jeff Bezos.
While no formal offers have been made and Apple has declined to comment, the internal discussions reportedly took place earlier this year and are reflective of broader ambitions to incorporate advanced AI features across Apple’s ecosystem. This may include search, Siri upgrades, and contextual language tools in future iOS and macOS versions.
“Apple has held talks internally about acquiring Mistral as well as Perplexity” (Reuters 2025).
This development also comes at a time when Apple is facing scrutiny over its long-standing deal with Google as the default search engine on Safari. Regulators have questioned whether that agreement hampers competition. If Apple were to build or acquire its own AI-native search infrastructure, it could potentially reduce reliance on external providers while responding to legal and competitive challenges.
Our Take
Apple appears to be acknowledging that incremental innovation is no longer enough to stay competitive in AI. These acquisition talks, even if exploratory, suggest a willingness to engage in larger, more strategic transactions. For investment bankers, the message is clear: big tech may finally be ready to deal at scale again. Whether this results in formal bids remains to be seen, but the M&A environment in AI is heating up—and Apple wants in.
Excerpt used under fair dealing:
“Apple has held talks internally about acquiring Mistral as well as Perplexity” (Reuters 2025).
Reuters (2025) Apple internally discussed buying Mistral, Perplexity, the Information reports. Available at: https://www.reuters.com/business/apple-internally-discussed-buying-mistral-perplexity-information-reports-2025-08-26 (Accessed: 26 August 2025).
