Perplexity CEO: On-Device AI Threatens Data Centers' Future

Technology
M
Moneycontrol•02-01-2026, 11:16
Perplexity CEO: On-Device AI Threatens Data Centers' Future
- •Perplexity CEO Aravind Srinivas suggests local, on-device AI could make massive data centers obsolete.
- •Current AI relies on power-hungry, costly data centers from Meta, Google, OpenAI for processing.
- •Srinivas argues local AI offers faster processing, enhanced privacy, and a "digital brain" experience.
- •He highlights "test-time training" where AI learns user workflows directly on the device, automating tasks.
- •Questions the financial sense of huge investments in centralized data centers if edge AI rapidly expands.
Why It Matters: Local, on-device AI could revolutionize computing, offering speed and privacy, potentially sidelining data centers.
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