06:51 AM EST, 01/21/2025 (MT Newswires) -- Perplexity AI has proposed a merger with TikTok's US operations to ByteDance to create a new entity with New Capital Partners, multiple media outlets reported Saturday, citing sources familiar with the matter.

The arrangement would allow ByteDance's current investors to keep their stakes while combining TikTok's video platform with Perplexity AI, the source reportedly said.

TikTok was shut down in the US on Sunday, but was later restored when President Donald Trump said he would save it, Reuters reported.

TikTok US, Perplexity AI, and ByteDance did not immediately reply to MT Newswires' request for comment.