Snap has ended its $400 million partnership with Perplexity, the AI search startup. The two companies "amicably ended the relationship" earlier this year, Snap disclosed in its latest earnings report. The partnership, announced last November, was supposed to bring Perplexity's AI search technology directly into the Snapchat app.

The feature began testing in Snapchat but was never fully rolled out. Perplexity said the planned feature was "not the right fit" for either company. "After working together, Snap and Perplexity determined that the original implementation was not the right fit for each company's product goals," a spokesperson said. The deal had been on shaky ground for months, with Snap earlier stating the two sides had "yet to mutually agree on a path to a broader roll out."

Snap is moving forward with other AI features. The company recently rolled out "AI Sponsored Snaps," which allows brands to surface AI agents in users' conversations. CEO Evan Spiegel called it proof "that chat can be monetized in a way that's really native to Snapchat." Snap is also preparing to show off its first consumer-ready AR glasses, called Specs, at the Augmented World Expo in Long Beach, California next month.