Snap reported Q1 earnings and issued cautious forward guidance, citing the end of its Perplexity AI partnership and geopolitical uncertainty in the Middle East as headwinds. The ad-platform operator saw mixed investor sentiment as it balances AI monetization bets against macroeconomic volatility.
The Perplexity partnership dissolution signals shifting priorities in AI commerce tie-ups, where initial enthusiasm for search-and-recommendation integrations is tempering amid revenue-share pressures and competing model deployments.