Controversial AI Startup Cluely Raises $5.3M to "Cheat on Everything"

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On Tue, 22 Apr, 8:02 AM UTC

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Former Columbia students launch Cluely, an AI tool designed to assist users in cheating on interviews, exams, and more, sparking ethical debates and raising millions in funding.

Cluely: The Controversial AI Tool for "Cheating on Everything"

Cluely, a new AI startup founded by former Columbia University students Chungin "Roy" Lee and Neel Shanmugan, has raised $5.3 million in seed funding to develop an AI tool designed to "cheat on everything" 1. The company's controversial approach has sparked debates about the ethics of AI use in various contexts, from job interviews to exams and even personal interactions.

Origins and Controversy

The startup's journey began when Lee and Shanmugan developed a tool called Interview Coder to help software engineers cheat on job interviews 1. This led to their suspension from Columbia University and ultimately their decision to drop out 2. Lee claims to have used the tool to secure internship offers from major tech companies, including Amazon 1.

How Cluely Works

Cluely is described as an "undetectable AI-powered assistant" that operates through an in-browser window 3. The tool can:

  1. Read the user's screen
  2. Listen to audio
  3. Provide real-time assistance in various situations 2

The company offers a free version with limited features and a pro version priced at $20 monthly or $100 annually 3.

Ethical Concerns and Criticisms

The launch of Cluely has raised significant ethical concerns:

  1. Deception: Critics argue that using Cluely constitutes a fundamental deception in interactions 4.
  2. Trust issues: There are concerns that widespread use of such tools could erode trust in professional and personal contexts 4.
  3. Redefining cheating: Lee argues that Cluely is similar to calculators or spell-checkers, which were once considered "cheating" 3.

Real-World Performance

Despite the hype, early tests of Cluely have revealed limitations:

  1. Technical issues: Users reported audio problems and latency in AI responses 2.
  2. Lack of context awareness: The AI doesn't always intuit what information is needed 2.
  3. Detectability: The tool may not be as undetectable as claimed, with visible user behaviors potentially giving away its use 2.

Market Position and Future Prospects

Cluely has gained significant attention in the tech world:

  1. Funding: The company raised $5.3 million from Abstract Ventures and Susa Ventures 1.
  2. Revenue: Lee claims Cluely surpassed $3 million in ARR earlier this month 1.
  3. Competition: Cluely enters a market where AI tools are increasingly prevalent, but its focus on "cheating" sets it apart 5.

Broader Implications for AI and Society

The Cluely controversy highlights broader discussions about AI's role in society:

  1. AI ethics: The case raises questions about responsible AI development and use 4.
  2. Education and assessment: Cluely's existence challenges traditional methods of evaluating knowledge and skills 3.
  3. Future of work: The tool's potential impact on hiring practices and workplace dynamics is a subject of debate 14.

As Cluely continues to develop and attract attention, it remains to be seen how the market, regulators, and society at large will respond to this controversial approach to AI assistance.

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