WASHINGTON (AP) — Perplexity AI has presented a new proposal to TikTok’s parent company that would allow the U.S. government to own up to 50% of a new entity that merges Perplexity with TikTok’s U.S. business, according to a person familiar with the matter.

TikTok, which faces the ticking clock of a ban enforcement, is being pursued by several suitors for a US merger or sale.

Perplexity AI search startup has a new proposal to merge with TikTok, which would give the US government a stake of up to 50%.