Perplexity AI is exploring the creation of a sub-$50 voice-activated device designed for answering questions conversationally. This move follows a positive response to CEO Aravind Srinivas's post on X (formerly Twitter).

AI Hardware Trend

Developing dedicated hardware is gaining traction among AI startups like Perplexity, Midjourney, and OpenAI, potentially offering innovative user interactions. This trend reflects a broader interest in specialized AI devices. For more on this trend, see OpenAI's ventures.

Challenges in AI Hardware

However, the AI hardware landscape presents significant challenges. Products like Rabbit R1, despite initial success, have faced difficulties in delivering promised features and maintaining market value. Similarly, Humane's Ai Pin encountered negative reviews, poor sales, and safety recalls. Design compromises and other factors can contribute to these issues.

Perplexity's Prospects

Perplexity, with substantial funding and a potential half-billion-dollar raise on the horizon, has the resources to pursue this venture. However, past failures in the AI hardware market highlight the need for careful planning and execution. AI-powered features alone do not guarantee success.