Startup Cluely Raises $5.3 Million Amid Controversy Over AI Tools and Cheating Ethics

In a digital age where artificial intelligence is rapidly transforming the way we learn and work, a new startup is stirring up debate over the fine line between innovation and academic integrity.

Cluely, an AI-driven platform designed to assist users in technical assessments and interviews, has just secured $5.3 million in funding. While the financial backing signals strong investor confidence, the origins of the startup are rooted in controversy.

The co-founders of Cluely, Roy Lee and Neel Shanmugam, found themselves at the center of public and institutional scrutiny after Lee was suspended by Columbia University. His offense? Developing a tool that allegedly helped students “cheat” during engineering job interviews. The incident has since gone viral on social media, especially after Lee shared his side of the story in a detailed thread on X (formerly Twitter), capturing public attention and reigniting discussions around ethics in AI.

What began as a controversial side project has now evolved into a full-fledged business venture. Cluely markets itself as an AI assistant to improve performance during technical interviews, but critics argue it enables dishonesty and undermines the merit-based hiring process.

As artificial intelligence continues to permeate education and employment, Cluely raises urgent questions: What qualifies as cheating in the age of AI? Where should the ethical boundaries be drawn? With venture capital flowing into such ventures, the debate between technological empowerment and ethical responsibility is far from settled.