Perplexity's Free AI Offer in India Boosted Revenue 60% Despite Download Decline

Perplexity partnered with Indian telecom operator Airtel to offer free access to its AI search service to millions of users, helping it build a massive user base in the Indian market.

After the offer ended for new users, Perplexity's India revenue rose by about 60%, indicating that users who tried the service for free converted to paid subscriptions.

Partnerships with telecom operators or major local platforms to offer free access can be an effective strategy for entering price-sensitive markets, provided there is a clear path to convert free users into paying ones.

No, the decline in downloads after the offer ended is natural, but the 60% revenue increase confirms the strategy succeeded in building a loyal, paying user base.