Perplexity Labs can draft 98-99% of an IPO prospectus: CEO Aravind Srinivas

Goldman Sachs CEO David Solomon recently remarked that artificial intelligence (AI), along with its many abilities, can now also write 95% of the draft papers for the public listing of a company. Perplexity chief Aravind Srinivas responded saying that his AI company's latest product, Perplexity Labs, the accuracy has now reached 98-99%.


Speaking at a Cisco event, Solomon said drafting the pre-IPO papers for a company used to take a six-person team and two weeks to create, but AI can do this in mere minutes, he said, and with 95% accuracy. He said, as quoted by a report by Financial Times the last 5% "now matters because the rest is now a commodity".


Perplexity in May released Perplexity Labs, which it described as a "24x7 dedicated answering machine" for users.

Labs can generate reports, spreadsheets, dashboards, and simple web applications. The company states that Labs performs 10 minutes or more of self-supervised work, leveraging a suite of tools including deep web browse, code execution, and chart and image creation, to transform users' ideas into tangible output.

This brings back the conversation around white-collar jobs and AI's threat to them, started by Anthropic CEO Dario Amodei.

Amodei, who leads one of the world's largest AI companies, warned that significant job cuts could occur within five years, urging consumers and US lawmakers to prepare. He also criticised the government and other AI companies for "sugar-coating" the coming reality: the potential for mass job eliminations across various white-collar professions, particularly at the entry level, including technology, finance, law, and consulting.

Hundreds of companies are already producing agents to automate a significant chunk of their gruntwork. AI agents can take on the work of humans and finish it much quicker, for a fraction of the cost. This, among other reasons, has led to widespread layoffs across sectors.