In the rapid-relocating world of Silicon Valley startups, few stories are as polarizing as that of Neel Shanmugam, the 21-year-old co-founder and COO of Cluely, an AI company that has raised $5.3 million in seed funding with the bold mission to support people “cheat on everything.”
Shanmugam’s journey launched in Richardson, Texas, where he attfinished the prestigious Texas Academy of Mathematics and Science for high school. Shanmugam’s parents hail from Periyakulam and Kovilpatti in Tamil Nadu. The academically gifted student then created his way to Columbia University, where he was accepted as an Egleston Scholar, planning to major in either Biomedical Engineering or Computer Science with a minor in Economics. According to Columbia Engineering records, Shanmugam launched conducting academic research during his junior year of high school and was recognized as part of the Class of 2026 Egleston Scholars program.
However, his Ivy League trajectory took an unexpected turn when he and his co-founder, Chungin “Roy” Lee, developed what would become one of the most controversial AI tools in recent memory.
Controversial Vision
The idea for Cluely emerged during a weekfinish at an Airbnb hacker houtilize, where Shanmugam and Lee spent over 40 hours discussing their priorities in life. What started as a tool called “Interview Coder” was designed to support software engineers bypass LeetCode, a platform for coding questions widely utilized in tech interviews. The duo viewed LeetCode as outdated and a barrier to genuine talent assessment.
As COO of Cluely, Shanmugam oversees the company’s operations while navigating the complex ethical landscape their product occupies.
Their creation allowed utilizers to access a hidden AI assistant during job interviews, invisible to interviewers but capable of providing real-time coding assistance. The tool gained significant attention when Lee utilized it to secure an internship with Amazon, though Amazon declined to comment on the specific case while noting that job candidates must acknowledge they won’t utilize unauthorized tools during interviews.
Disciplinary Action
The founders’ innovation quickly attracted unwanted attention from Columbia University. Both Shanmugam and Lee found themselves embroiled in disciplinary proceedings over their AI tool, with Lee eventually being suspfinished. The Columbia Daily Spectator reported that both co-founders ultimately dropped out of Columbia amid the disciplinary action, though the university declined to comment, citing student privacy laws.
Despite the academic setback, the controversy only seemed to fuel their entrepreneurial ambitions. As Shanmugam noted in recent interviews, Cluely is often branded as a “cheating app,” but the company has chosen to wear the title “like a badge.”
Silicon Valley Success
Following their departure from Columbia, Shanmugam and Lee relocated to San Francisco and transformed their controversial tool into a full-fledged startup. In April 2025, they announced they had raised $5.3 million in seed funding from Abstract Ventures and Susa Ventures, with their company achieving $3 million in annual recurring revenue (ARR) shortly after launch.
The growth trajectory has been remarkable. Recent reports indicate that Cluely’s ARR doubled to $7 million within a single week after signing a public company as a client. The company has expanded beyond job interview assistance to offer AI-powered support for exams, sales calls, and various other scenarios where utilizers might want real-time AI assistance.
Behind the Controversy
Cluely has published a manifesto comparing itself to inventions like the calculator and spellcheck, which were originally derided as “cheating.” The company argues that their tool represents the next evolution in human-AI collaboration, despite the ethical concerns it raises.
The startup gained additional attention (and criticism) through a provocative launch video displaying Lee utilizing the AI assistant to lie about his age and art knowledge during a date at a fancy restaurant. While some praised the video for grabbing attention, others compared it to dystopian scenarios from “Black Mirror.”
Current Status and Future Prospects
As COO of Cluely, Shanmugam oversees the company’s operations while navigating the complex ethical landscape their product occupies. He is also recognized as a Z-Fellow, highlighting his entrepreneurial achievements despite leaving formal education behind.
The company continues to face scrutiny over the ethics of its “cheating” tools, with competitors like Pickle developing similar products. However, Cluely’s rapid revenue growth and high-profile funding suggest that there’s significant market demand for AI assistance tools, regardless of the moral debates they generate.
Shanmugam’s story raises fundamental questions about the future of work, education, and human-AI interaction. His journey from a promising Columbia engineering student to a controversial Silicon Valley founder reflects broader tensions about how society should adapt to rapidly advancing AI capabilities.
Whether viewed as a visionary entrepreneur or an ethically questionable opportunist, Shanmugam has undeniably created one of the most talked-about startups of 2025. His claim to fame rests not just on the company’s impressive financial metrics, but on his willingness to challenge conventional notions of fairness and authenticity in an AI-driven world.
As Cluely continues to grow and face scrutiny, Shanmugam’s role as both co-founder and public face of the “cheating” revolution will likely keep him at the center of ongoing debates about technology, ethics, and the future of human achievement.
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