Perplexity Proposes Transparent AI-Powered TikTok Algorithm

Perplexity, the AI startup known for its answer engine platform, has unveiled a conceptual proposal to reshape TikTok’s U.S. operations. The company’s vision involves rebuilding TikTok’s recommendation algorithm from the ground up, emphasizing transparency, scalable AI infrastructure, and improved personalization tools.

While no formal acquisition or restructuring plans have been announced by TikTok or the U.S. government, Perplexity’s proposal arrives amid growing scrutiny over TikTok’s ownership and data practices. The U.S. government has recently pushed for changes to TikTok’s ownership to address concerns about data privacy and potential foreign influence.

Building a Transparent Algorithm in the U.S.

At the core of Perplexity’s proposal is a commitment to transparency. The company suggests rebuilding TikTok’s “For You” recommendation feed using an open-source algorithm. By doing so, they aim to eliminate concerns over opaque content curation and potential manipulation. The algorithm infrastructure would be developed and maintained in American data centers, overseen by U.S. regulations and privacy standards.

Perplexity positions itself as a “Little Tech” alternative—an independent player capable of rebuilding TikTok without monopolistic influence or residual ties to ByteDance. The company argues that acquisition by major competitors could lead to market consolidation, while investor-led takeovers may leave ByteDance with continued control. Its proposal emphasizes transparent algorithmic governance and decentralizing control to prioritize user trust and platform neutrality.

Scaling TikTok’s AI Infrastructure

Perplexity’s plan also includes significant AI infrastructure upgrades. Leveraging Nvidia’s Dynamo platform—announced at the 2025 Nvidia GPU Technology Conference—the company claims it could scale TikTok’s recommendation models by 100x. The goal is to deliver faster inference speeds and more advanced personalization while ensuring the infrastructure remains secure and efficient.

Enhancing Personalization and Trust

Another key component of the proposal is integrating Perplexity’s answer engine capabilities with TikTok’s content. This would allow TikTok users to see AI-powered citations, contextual notes, and cross-referenced information alongside videos—mirroring Perplexity’s approach to providing transparent, well-sourced answers.

Additionally, Perplexity envisions cross-platform personalization, where user behavior and preferences on TikTok could inform Perplexity’s search engine, and vice versa. By leveraging signals from both platforms, the goal is to surface more relevant content tailored to each user’s interests—whether they’re searching for the best tennis racket under $100, analyzing the impact of an earnings call, or looking for local dining recommendations. This approach blends TikTok’s creative discovery with Perplexity’s answer-driven search, aiming to deliver personalized results across mediums.

Informational Value Over Engagement

Perplexity also suggests shifting TikTok’s optimization focus away from pure engagement metrics toward informational value and user satisfaction. By using AI to enrich content with multilingual tools, contextual annotations, and research capabilities, the company proposes making time spent on TikTok more valuable—blending entertainment with knowledge discovery.

What This Means

While Perplexity’s proposal remains conceptual and no decisions regarding TikTok’s future have been made, it highlights critical conversations surrounding AI-powered platforms. Issues of algorithmic transparency, ethical AI deployment, data sovereignty, and content moderation continue to shape the broader tech landscape.

One open question is how users would respond to such changes. While Perplexity focuses on transparency, trust, and informational value, it’s unclear whether users accustomed to TikTok’s current engagement-driven experience would embrace a platform oriented more toward knowledge discovery and personalized, trusted content. The balance between entertainment and information could shape TikTok’s appeal in any future iteration.

Ultimately, Perplexity’s vision reflects a growing call for more transparent, accountable AI systems—especially as large-scale platforms increasingly influence information access and user engagement. Whether or not this specific plan moves forward, it underscores the importance of rethinking how AI infrastructure, personalization, and governance intersect in modern digital ecosystems.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.