Perplexity AI Hit With Class-Action Lawsuit for Sharing User Chat Data With Google and Meta Without Consent

Summary

A class-action lawsuit filed March 31, 2026 in the U.S. District Court for the Northern District of California accuses Perplexity AI of secretly sharing users' full chat transcripts with Google and Meta through embedded ad trackers. The complaint, brought by a Utah resident, alleges the data sharing occurred without user consent-including conversations entered in Perplexity's Incognito Mode.

Key Details

The 135-page complaint alleges Perplexity embedded Google Ads, Google DoubleClick, and Meta Pixel tracking tools into its code. These trackers loaded onto users' devices immediately upon visiting Perplexity's homepage, giving Google and Meta access to the full text of user prompts and AI responses before Perplexity itself processed them.

For signed-in users, the trackers captured initial prompts and reply selections. For users not signed in, the suit claims entire conversations were transmitted. Perplexity allegedly received advertising and analytics benefits in exchange, while Google and Meta used the data for targeted advertising.

The lawsuit calls Perplexity's Incognito Mode a "sham"-chat data entered in the supposedly private mode was still shared with third parties. The proposed class covers all non-paying users who chatted with Perplexity between December 7, 2022 and February 4, 2026.

The complaint includes 14 legal counts: invasion of privacy, violations of the federal Electronic Communications Privacy Act, California's Comprehensive Computer Data Access and Fraud Act, and claims of deceit and unfair competition. Potential penalties exceed $5,000 per individual violation. Perplexity spokesperson Jesse Dwyer responded: "We have not been served any lawsuit that matches this description so we are unable to verify its existence or claims."

Why This Matters

This lawsuit tests whether AI chatbot providers must obtain explicit consent before integrating advertising trackers that capture conversation data. Because users share sensitive personal, financial, and legal information with AI assistants, undisclosed data sharing with ad platforms creates consent obligations beyond traditional website tracking.

Under CCPA rules effective January 1, 2026, businesses must confirm opt-out requests have been processed and cannot treat a dismissed consent pop-up as agreement. AI platforms collecting and sharing conversation data face heightened scrutiny under these standards.

For businesses collecting sensitive information through digital forms and consent workflows, the Perplexity case underscores why transparent data handling disclosures matter. Organizations processing intake forms, waivers, or consent documents need clear documentation of how submitted data is used-and must ensure no undisclosed third-party tracking touches that data.

Sources

• Android Authority - Perplexity 'Incognito' chats might not be so private, lawsuit claims
• MediaPost - Ruffling Privacy: Perplexity, Meta And Google Hit With Suit Over Alleged Data Sharing
• Bloomberg - Perplexity AI Machine Accused of Sharing Data With Meta, Google