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AI Startup Perplexity Demanded Alleged Trademark Infringement

Perplexity, the venture-backed startup structure AI-powered search items, has been sued in federal court for apparently breaching another company’s hallmark.

In a complaint filed Thursday in the U.S. District Court for the Northern District of California, lawyers representing a company called Perplexity Solved Solutions implicate Perplexity of on its hallmark rights by utilizing the brand name “Perplexity.”

Perplexity Solved Solutions, a Plano, Texas-based company founded in 2017, used to register the Perplexity trademark with the U.S. Patent and Trademark Office (USPTO) in October 2021, according to the complaint.

Perplexity Solved Solutions primarily sells HR and office cooperation software, including an unified control panel for HR analytics and a videoconferencing tool called Perplexity Meet. The company secured a hallmark registration by November 2022 and started promoting items on its website, perplexityonline.com, a domain that Perplexity Solved Solutions had registered in 2021.

Perplexity and counsel for Perplexity Solved Solutions did not respond since press time. TechCrunch will upgrade the post if either celebration comments.

The Texas business declares that AI start-up Perplexity began infringing on its trademark “in or around” August 2022 to promote its AI-powered search engine. The month prior – July 2022 – Perplexity had signed up the domain perplexity.ai, which the problem likewise alleges is violation.

“The [Perplexity] site currently situated at the infringing domain plainly includes the Perplexity [trademark],” the complaint reads,” [and] the infringing items and services are extremely comparable to those used by Perplexity [Solved Solutions] and appeal to a comparable customer base. For example, Perplexity [Solved Solutions’] ‘Perplexity Meet’ and offender’s ‘Perplexity Spaces’ both are software application platforms that assist in interaction and cooperation among coworkers in companies and other organizations.”

Perplexity Spaces, which the San Francisco-based AI start-up released for enterprise clients in October, are hubs with a customizable AI assistant and ports to third-party platforms, apps, and file systems.

The grievance declares that Perplexity has actually “filled the market” with its infringing branding, including marketing across its different social media accounts. The AI startup declined to acquire the Perplexity hallmark in September 2023 when used, per the problem, and rather opted to declare its own trademark with the USPTO, which is still pending.

According to the problem, Perplexity didn’t adhere to a stop and desist letter from Perplexity Solved Solutions’ counsel, and it hasn’t withdrawn its pending trademark application – despite efforts to oppose the application before the USPTO’s trial and appeal board.

Attorneys for Perplexity Solved Solutions say that Perplexity’s usage of its hallmark is likely to sow confusion.

“In truth, upon info and belief, customers currently have actually been puzzled,” the problem checks out. “For example, on numerous events, social media users have ‘tagged’ Perplexity in their posts about accused’s infringing items and services.”

The grievance declares that Perplexity’s conduct breaches laws, including the Lanham Act – the U.S. federal law that controls trademarks and unjust competition. To name a few types of legal relief, Perplexity Solved Solutions is looking for to bar Perplexity from using its trademark, in addition to the hallmark “Perplexity AI,” pay damages, and transfer ownership of any domains that include Perplexity branding.

It’s the most recent courtroom headache for Perplexity, which is currently battling a suit filed by News Corp’s Dow Jones and the NY Post over what the complainants refer to as a “content kleptocracy.” Many other news websites have expressed concerns that Perplexity carefully replicates their content – simply last October, The New York Times sent out the start-up a stop and desist letter.

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