Perplexity, the San Francisco-based AI search startup valued at $20 billion, has quietly built an internal AI coding tool that it may release publicly. The tool, codenamed "Teammate," has been used by the company's engineers since May, according to screenshots obtained by Business Insider.

The move signals a significant expansion beyond Perplexity's core AI-powered search business, which competes directly with Google. Launching Teammate would thrust the company into the increasingly crowded AI coding market, where it would vie with established players like Cursor, Anthropic, and OpenAI.

Teammate is designed to oversee entire software projects from start to finish, according to an individual familiar with the matter. While Perplexity has not confirmed a public release date or even if one is planned, the internal tool represents a strategic bet on developer tools.

If Perplexity proceeds, it would enter a space already seeing intense competition and rapid product evolution. The startup's existing user base and brand recognition in AI could provide an initial advantage, though breaking into the coding tool market is notoriously difficult.

A formal launch remains uncertain, and the company has not commented on the reports. The coding tool landscape is dominated by well-funded rivals with years of developer trust built up.