Nvidia is in discussions to make a multi-billion-dollar equity investment in AI search startup Perplexity as part of a funding round valuing the company at over $30 billion. This valuation marks a more than 50% increase from Perplexity's previous round a year prior.

The financing round would be worth billions of dollars and would increase Perplexity’s valuation by more than 50% from its previous funding round a year ago, the Information report said. Reports last year had put Perplexity’s valuation at about $20 billion.

The potential investment comes as the two companies have developed stronger business relationships. Perplexity’s annualized revenue has grown to more than $750 million from less than $250 million at the start of the year, the Information reported.

The revenue growth has been driven in part by Perplexity Computer, an AI agent that professionals use to automate computer tasks, the Information reported.