When you send queries to the Perplexity API, Perplexity can use those inputs and the responses it generates to improve its AI systems.
This analysis describes what Perplexity AI's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This provision authorizes Perplexity to use API traffic, including developer-submitted prompts and any user data embedded in them, to train and refine its AI models, which has direct implications for privacy and confidentiality of data transmitted through the API.
Interpretive note: Whether the license granted covers personal data in a manner consistent with GDPR lawful basis requirements or CCPA service provider restrictions depends on the nature of data transmitted and the legal basis relied upon, which are not specified in the document.
End-user data or personal information included in API queries by developers may be used by Perplexity to improve its AI models, depending on what data developers transmit and whether applicable privacy notices and consents are in place.
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"By using the API, you grant Perplexity a non-exclusive, worldwide, royalty-free license to use, reproduce, modify, and analyze inputs and outputs transmitted through the API for the purpose of operating, maintaining, and improving the Service and Perplexity's AI models.— Excerpt from Perplexity AI's Perplexity API Terms of Service
REGULATORY LANDSCAPE: This provision engages GDPR and CCPA most directly. Under GDPR, using personal data for AI model training requires a lawful basis, and consent obtained for a developer's primary service purpose may not extend to AI training by a third party. The CCPA's service provider restrictions may limit how Perplexity can use personal data transmitted through the API beyond the core service purpose. The FTC has issued guidance on data use for AI training and may scrutinize practices that exceed user expectations. Applicable enforcement authorities include the FTC, EU data protection authorities, and the California Privacy Protection Agency. GOVERNANCE EXPOSURE: High for developers transmitting personal data through the API. The license granted is broad, covering inputs and outputs globally and for AI model improvement purposes. Developers who transmit user-generated content or personal data without appropriate notices or consent mechanisms may face regulatory exposure independent of this contractual grant. JURISDICTION FLAGS: EU/EEA users are protected by GDPR, which may require a separate lawful basis for AI training use beyond what is covered by performance of a contract. California residents are protected by CCPA service provider restrictions. Illinois BIPA may apply if biometric data is incidentally transmitted. Any jurisdiction with AI-specific data governance laws may impose additional constraints. CONTRACT AND VENDOR IMPLICATIONS: Developers should assess whether a Data Processing Agreement with Perplexity is required to govern personal data transmitted through the API. The standard terms may not constitute a sufficient data processing agreement under GDPR, and the absence of one creates compliance risk. Procurement teams should request DPA documentation from Perplexity before processing personal data via the API. COMPLIANCE CONSIDERATIONS: Privacy impact assessments should evaluate what personal data, if any, is transmitted through API calls. Developer privacy policies should disclose that query data may be used by the underlying AI provider for service improvement. Consent mechanisms should be reviewed to ensure they cover the scope of data use authorized by this provision. Data minimization practices should be implemented to limit personal data in API payloads where possible.
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This provision authorizes Perplexity to use API traffic, including developer-submitted prompts and any user data embedded in them, to train and refine its AI models, which has direct implications for privacy and confidentiality of data transmitted through the API.
End-user data or personal information included in API queries by developers may be used by Perplexity to improve its AI models, depending on what data developers transmit and whether applicable privacy notices and consents are in place.
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