Perplexity, an AI startup aiming to challenge OpenAI’s dominance, is targeting India as a key market.
The company, which has gained significant traction in the US, is now focusing on India, the second-largest internet and smartphone market globally, for expansion.
This week, Perplexity announced a major partnership with Bharti Airtel, India’s second-largest telecom operator. The deal offers 360 million Airtel subscribers a free 12-month Perplexity Pro subscription, valued at $200. This move is one of the startup’s biggest yet, aiming to expand its user base in India.
Perplexity’s growth in India has been impressive. In Q2, the startup saw a 600% increase in downloads, reaching 2.8 million, as reported by TechCrunch.
Airtel has partnered with @perplexity_ai to offer a 12-month Perplexity Pro subscription, free of cost, to all Airtel users.
— Bharti Airtel (@airtelnews) July 17, 2025
This brings a powerful, real-time knowledge tool into the hands of millions across India, enabling them to navigate the digital world and emerging GenAI… pic.twitter.com/TuxeetxUJU
While OpenAI’s ChatGPT also grew significantly with a 587% rise to 46.7 million downloads, Perplexity’s growth indicates strong momentum. Its monthly active users (MAUs) in India grew 640% year-over-year, outpacing ChatGPT’s 350% growth.
Despite this, ChatGPT maintains a lead with 19.8 million MAUs compared to Perplexity’s 3.7 million.
In addition to its partnership with Airtel, Perplexity has collaborated with Paytm, one of India’s largest fintech platforms, to offer its AI-powered search engine to millions of users. CEO Aravind Srinivas has pledged $1 million to support AI development in India, underlining the company’s commitment to the market.
While India presents significant opportunities, Perplexity faces challenges in monetising its user base. OpenAI’s in-app purchase revenue surged to $773 million in Q2, while Perplexity saw a 300% increase, reaching $8 million.
The challenge is particularly acute in India, where consumers are highly price-sensitive.
Despite these hurdles, the exclusive Airtel partnership could help Perplexity expand its paid subscriber base in India.
The market offers long-term growth potential, especially if Perplexity can convert its large user base into paying customers.
Perplexity’s focus on India is part of a broader strategy to compete with OpenAI globally. However, to secure investor backing, the startup will need to prove it can turn user growth into sustainable revenue.
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