Perplexity

Perplexity runs a freemium funnel: the answer engine is free, building habit and brand at consumer scale, while Perplexity Pro converts power users into paying subscribers with access to more capable models, higher usage limits, and advanced research features. Above that sits the enterprise tier, where organizations buy seats with admin, security, and data controls, and developers pay for API access to its search-grounded models. The Comet browser, released as a free download in October 2025, extends the funnel rather than monetizing directly — it deepens daily engagement and gives Perplexity the session-level surface where subscription attach and future agentic features live. The company has also experimented with advertising formats and publisher revenue-sharing around its answers. Who pays today: individual subscribers on recurring plans, teams and enterprises per seat, developers per call. The estimated $200M ARR against a $20B valuation defines the strategic problem precisely: the funnel works, but it must keep scaling against rivals giving comparable answers away free inside default distribution.