The burgeoning field of artificial intelligence is not only reshaping product development and customer interaction but is also beginning to redefine traditional investor relations. Perplexity AI, a prominent AI-powered search engine, is at the forefront of this shift, with its CEO, Aravind Srinivas, championing a radical departure from the conventional pitch deck. Srinivas has revealed that the company largely foregoes the standard slide presentations when engaging with potential investors, opting instead for a more direct and AI-augmented communication strategy. This innovative approach, while uncommon, suggests a potential evolution in how early-stage companies articulate their value propositions to venture capital and angel investors.
Srinivas, who co-founded Perplexity in 2022, articulated his unconventional fundraising method in a recent interview. He stated that for most investor interactions, particularly post-Series A, he relies on a written memo coupled with a question-and-answer session. This memo serves as the foundational document, outlining the company’s core tenets. Crucially, Srinivas leverages his own platform, Perplexity, to address follow-up inquiries. He explained that when investors send detailed questions, he inputs the entire query into Perplexity, instructing it to respond “like Aravind.” This allows for rapid, comprehensive answers that can be shared with investors, often via a direct link to the AI’s generated response.
This strategy was reportedly successful in securing significant investment for Perplexity. Srinivas recounted an instance where an investor, after a webinar Q&A, sent a lengthy email of follow-up questions. He utilized Perplexity to generate a detailed response, which he then sent back to the investor with an offer to provide further context if needed. The investor’s positive reception, characterized by a remark of “This is wonderful,” led to a swift wire transfer of funds the following day. This anecdote highlights the potential efficiency and effectiveness of using AI tools to manage investor communications, especially in a fast-paced startup environment.
The efficacy of this minimalist approach is underscored by Perplexity’s impressive growth and funding trajectory. Founded by Srinivas after stints at leading AI research labs like Google’s DeepMind and OpenAI, the company has quickly become a noteworthy player in the AI search landscape. Reports indicate the company was seeking new funding at a substantial valuation of $20 billion post-money, attracting backing from major entities such as SoftBank, Nvidia, and Jeff Bezos. While a formal pitch deck might have been used for their Series A round, the subsequent fundraising demonstrates confidence in their alternative communication methods.
While Perplexity’s adoption of an AI-driven, low-deck strategy is distinctive, it is not entirely unprecedented. Other Silicon Valley startups have also experimented with reducing their reliance on traditional pitch decks. For instance, workforce management firm Rippling opted for an “Investor Memo” as the primary fundraising tool for its $45 million Series A round in April. This approach, focusing on prose to convey the company’s pitch, suggests a growing trend among founders to find more agile and direct ways to communicate their vision and business model to potential investors, moving beyond the confines of static slideshows.
David Thompson earned his MBA from the Wharton School and spent five years managing multi-million-dollar portfolios at a leading asset management firm. He now applies that hands-on investment expertise to his writing, offering practical strategies on portfolio diversification, risk management, and long-term wealth building.