Axios Closer

August 12, 2025
Wednesday ✅.
Today's newsletter is 701 words, a 2½-minute read.
🔔 The dashboard: The S&P 500 closed up 1.1%, hitting a new record. Core inflation rose at a faster clip in July, raising expectations for a September rate cut.
🥶 Today's stock spotlight: Cava shares are down more than 20% after the bell as the fast-casual restaurant chain lowered its full-year forecast for same-store sales growth, saying customer traffic was "roughly flat" in the second quarter.
1 big thing: Perplexity's giant leap for Chrome
Perplexity, the AI-powered search engine upstart, today offered to buy the Chrome browser from Google for $34.5 billion.
- 🤷 Chrome isn't actually for sale.
- But Perplexity is pitching the proposal as a remedy solution to Google's antitrust issues, according to documents seen by Axios.
✉️ Zoom in: Perplexity, which code-named the effort Project Solomon, sent a nonbinding term sheet outlining the offer this morning.
- 💰 Though recently valued at about half what it's offering to pay Google, Perplexity claims to have the necessary financing lined up to execute the deal, WSJ first reported today.
- 🎗️ It also pledges to invest $3 billion over two years to support Chrome.
Reality check: If Google is indeed forced to sell Chrome to satisfy antitrust regulators, there could be several bidders with even deeper pockets than Perplexity (including OpenAI).
- 🏅 If nothing else, this is a marketing masterstroke by Perplexity. The company raises its public profile, including awareness of its own nascent Comet browser.
The intrigue: Perplexity is the buy-side protagonist here, but it's also been talked about as a possible acquisition target for Google. And for Apple.
- 🚀 Even if this Chrome transaction never materializes, it could serve as a visibility springboard to a different sort of deal.
2. Running low on spirit
Spirit Airlines has turned on the fasten seatbelt sign.
- The ultra-low-cost carrier, which emerged from Chapter 11 bankruptcy protection less than six months ago, said in an SEC filing today that it may not survive on its own if it's unable to improve its finances.
- ⚠️ The company said it "continues to experience challenges and uncertainties in its business operations and expects these trends to continue for at least the remainder of 2025."
💵 Zoom in: Spirit's credit-card processor recently requested "additional collateral" to renew its deal, but that "could result in a material reduction of unrestricted cash," the company warned.
- 🪧 The airline said it's taking steps to boost its liquidity, including the sale of aircraft and real estate, the sale of excess gate capacity and other cost cuts.
⏪ Flashback: Spirit had arranged a $3.8 billion sale to JetBlue, but a federal judge blocked that deal in 2024 at the urging of the Biden administration.
- The company more recently rejected a proposal to merge with Frontier Group.
3. Other happenings
📷 Eastman Kodak is warning that it faces a serious risk of going out of business. The iconic American film company has tried to diversify into other businesses after filing for bankruptcy protection in 2012. (Axios)
📺 Sinclair is launching a strategic review of its broadcast business. The company owns 178 stations but is suffering from consumers cutting TV subscriptions. (Axios)
❌ YouTube will begin testing an age-verification system designed to prevent minors from seeing inappropriate content. (AP)
4. 🎶 Arriving soon: "The Life of a Showgirl"
Just in case you didn't stay up for the big reveal at 12:12am today, the 12th day of August, we will fill you in on the news.
- Taylor Swift has a new studio album coming out — and, get this, it's her 12th one.
State of play: The music superstar announced on boyfriend Travis Kelce's podcast early this morning that she will release a new album titled "The Life of a Showgirl."
- We don't know much about her first new studio album since April 2024, but she's expected to reveal more when the full pod drops on Wednesday.
The intrigue: "Spotify billboards started popping up in New York City and Nashville shortly after the album announcement, with a code leading to a playlist entitled, 'And, baby, that's show business for you,'" Variety reports.
💭 Nathan's thought bubble: We are never, ever, ever gonna stop listening to this one here at Closer.
Today's newsletter was edited by Pete Gannon and copy edited by Sheryl Miller.
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