Introduction
Artificial intelligence is transforming how we search, create, and design. And now, Perplexity AI is stepping up in a big way. The AI search innovative firm has acquired the Sequoia-backed startup Visual Electric. This move isn’t just about technology—it’s about combining talent, tools, and creativity into one impactful platform.
Who Is Visual Electric?
In 2022, Visual Electric was born with a mission to make design faster and smarter. The founders are:
- Colin Dunn, a former Facebook and Dropbox engineer
- Adam Menges, who previously worked at Apple
- Zach Stiggelbout, formerly with Microsoft
It all started with a tool that lets designers generate images with AI and edit them on an infinite canvas. Then, the team took it a step further by adding video generation, turning simple whiteboard ideas into dynamic, moving visuals. The goal? To empower designers to explore ideas faster, think bigger, and create more creatively than ever before.
What Happens After the Acquisition?
Perplexity AI is folding the Visual Electric team into its new Agent Experiences group. The Visual Electric product will shut down in 90 days, but the team will continue driving innovation for smarter AI experiences.
During the transition:
- Users can export their data
- Subscribers will get prorated refunds
This ensures a smooth transition while preserving user trust.
Funding and Backing
Visual Electric had already attracted $2.5 million in funding from top investors:
These funds helped the startup refine its AI tools, which are now ready to power the next phase of Perplexity AI growth.
Why This Matters for Perplexity AI
By acquiring Visual Electric, Perplexity AI is moving beyond text-based search. Now, it can combine:
- AI search capabilities
- Creative design tools
- Agent Experiences, a new workflow for designers and AI users
The result? A more holistic AI platform that supports creativity, ideation, and content creation in one place. Designers can now use Perplexity AI not just to find information, but to generate, edit, and visualize their ideas seamlessly.
FAQs About the Acquisition
Q: What is Perplexity AI?
A: Perplexity AI is an AI-powered search platform that delivers answers with reliable sources using advanced language models.
Q: Who founded Visual Electric?
A: Visual Electric was founded in 2022 by Colin Dunn, Adam Menges, and Zach Stiggelbout.
Q: Will Visual Electric still exist as a product?
A: No. The product will shut down in 90 days. Users can export their data, and subscribers will get prorated refunds.
Q: What is Agent Experiences?
A: It’s a new Perplexity AI group where the Visual Electric team will develop integrated AI tools for design and search.
Q: How much funding did Visual Electric raise?
A: Visual Electric raised $2.5 million from Sequoia, BoxGroup, and Designer Fund.
Q: How does this benefit users?
A: Users gain access to advanced image and video generation tools, creative workflows, and integrated AI search, enhancing the overall user experience.
Conclusion
The acquisition of Visual Electric is a strategic leap for Perplexity AI. It brings innovative AI design tools, experienced founders, and creative workflows into a single platform. For designers and AI enthusiasts, this means faster ideation, richer content creation, and a more integrated AI experience.
Perplexity AI is not just evolving—it’s redefining what AI can do for creativity.