
By Blake Brittain
Jan 31 - A small software company has sued artificial intelligence startup Perplexity AI in California federal court for allegedly violating its trademark rights with the name "Perplexity".
The lawsuit, filed on Thursday, said that Perplexity AI's name threatened to create consumer confusion with Perplexity Solved Solutions, which launched five years before the AI startup was founded. PSS asked the court to block Perplexity AI from using "Perplexity" in its branding.
"Having recently obtained a billions-of-dollars valuation, Defendant apparently believes it is entitled to trample on the rights of a proverbial 'little guy' without consequence," the lawsuit said.
Spokespersons for Perplexity AI and attorneys for PSS did not immediately respond to requests for comment.
Plano, Texas-based PSS was founded in 2017 and offers software "aimed at simplifying complex business needs through data analytics, artificial intelligence (“AI”), and enhancing communication and collaboration," according to the complaint. It received a federal trademark for "Perplexity" covering software services in 2022.
Perplexity AI, which offers a search engine powered by artificial intelligence, was founded in 2022. According to the complaint, PSS declined to sell its trademark to Perplexity AI in 2023.
The lawsuit said PSS sent Perplexity AI a cease-and-desist letter over its name last October. PSS argued that the AI startup's use of the name "Perplexity" causes confusion and threatens its "hard-earned goodwill and reputation."
The case is Perplexity Solved Solutions Inc v. Perplexity AI Inc, U.S. District Court for the Northern District of California, No. 3:25-cv-00989.
For PSS: Eleanor Lackman and Marissa Lewis of Mitchell Silberberg & Knupp
For Perplexity AI: attorney information not yet available