His AI Cheating Tool Got Him Suspended. Then It Got Funded.

Key Takeaways

  • A Columbia University undergraduate, Roy Lee, raised $5.3 million for his AI startup, Cluely, after being suspended for creating a tool to cheat on coding interviews.
  • Cluely, formerly Interview Coder, offers a real-time AI assistant for virtual conversations like job interviews and meetings, claiming to bypass detection tools.
  • The co-founder describes the “cheat on everything” slogan as intentionally provocative marketing.
  • The company’s funding highlights the growing debate around generative AI’s impact on work, education, and ethics.
  • Lee argues AI tools are becoming commonplace, similar to calculators, and universities should embrace rather than ban them.

A Columbia University student suspended for developing an AI tool to navigate tech job interviews has successfully secured $5.3 million in funding to expand the concept into a bigger venture.

Roy Lee, the 21-year-old co-founder and CEO, announced the funding for his company, now named Cluely. Originally known as Interview Coder, the startup sparked controversy with its provocative slogan about using AI to “cheat on everything.”

Cluely offers a paid subscription service featuring a desktop application that acts as a real-time AI assistant during virtual calls. It listens in on job interviews, sales discussions, or meetings, providing users with live prompts and analysis.

Lee mentioned in an interview that the “cheat on everything” tagline is primarily a marketing tactic. “You can’t really cheat on a conversation,” he explained, adding that while the rapid integration of AI might feel uncomfortable, embracing it is necessary.

This story feeds into the larger conversation about how generative AI is fundamentally changing work and learning, forcing institutions to adapt. Lee noted widespread AI use among students for assignments, often against university policies.

Columbia University’s own AI policy is described as a “work in progress” on its website, permitting exploration but generally prohibiting AI use in exams or assignments without explicit instructor approval, according to Gothamist.

Lee and co-founder Neel Shanmugam initially created Interview Coder to gain attention, specifically targeting the technical coding challenges common in tech hiring. They even filmed themselves using the tool for internship applications.

After a video was posted online, drawing a complaint from Amazon, Columbia suspended Lee. His story gained significant traction in tech circles after he shared his experience online.

Leveraging this attention, Lee and Shanmugam dropped out of Columbia to focus on their company, broadening its scope beyond interview cheating. They quickly raised $5.3 million from Silicon Valley venture capital firms Abstract Ventures and Susa Ventures.

Lee defends the tool, comparing its utility to calculators or spellcheckers – technologies once viewed skeptically but now widely accepted. He argues that using AI for tasks like researching a sales prospect during a call isn’t fundamentally different from doing so beforehand.

Now hiring for Cluely, Lee designs his own interviews to be “AI-proof,” focusing on a candidate’s thought process rather than banning AI tools outright. He feels this assesses genuine understanding versus simply using AI prompts.

Lee believes Columbia mishandled his suspension, arguing universities should prepare students for an AI-driven future instead of restricting technology access.

Early tests of Cluely by journalists have reported glitches typical of many generative AI tools. However, studies, like one from the University of Pennsylvania mentioned by Gothamist, show students increasingly using AI for various academic tasks and prefer instructors who embrace the technology.

Education experts suggest that AI adoption by students is widespread, urging universities to adapt teaching and assessment methods. Anand Rao, from the University of Mary Washington, advocates for integrating AI responsibly into the curriculum, emphasizing that skills like critical thinking and communication become even more vital when working alongside AI.

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