Snap Inc. has ended its partnership agreement with artificial intelligence search company Perplexity, terminating a deal that was announced in November and valued at $400 million.

The partnership would have integrated Perplexity's AI-powered search engine directly into Snapchat's platform, allowing users to access AI search capabilities within the social media app. Snap characterized the conclusion of the deal as amicable.

The termination comes as Snap has issued cautious guidance for its business outlook. The company cited uncertainty stemming from geopolitical situations in the Middle East as a factor affecting its projections.

Snap's decision to end the Perplexity partnership represents a shift in the company's AI strategy, as social media platforms have been increasingly looking to integrate artificial intelligence features to enhance user engagement and compete with rivals.

The deal's conclusion follows a broader trend of tech companies reassessing AI partnerships amid changing market conditions and regulatory environments. Perplexity has been expanding its AI search capabilities and seeking integration opportunities with major platforms.