A.I. News Builder.ai faked AI with 700 engineers, now faces bankruptcy and probe

[Parkinsond]

Content source

https://www.business-standard.com/companies/news/builderai-faked-ai-700-indian-engineers-files-bankruptcy-microsoft-125060401006_1.html

Founded in 2016 by Sachin Dev Duggal, Builder.ai — previously known as Engineer.ai — positioned itself as an artificial intelligence (AI)-powered no-code platform designed to simplify app development. Headquartered in London and backed by major investors including Microsoft, the Qatar Investment Authority, SoftBank’s DeepCore, and IFC, the startup promised to make software creation "as easy as ordering pizza". Its much-touted AI assistant, Natasha, was marketed as a breakthrough that could build software with minimal human input.

At its peak, Builder.ai raised over $450 million and achieved a valuation of $1.5 billion. But the company’s glittering image masked a starkly different reality.

Contrary to its claims, Builder.ai’s development process relied on around 700 human engineers in India. These engineers manually wrote code for client projects while the company portrayed the work as AI-generated.

https://www.business-standard.com/companies/news/builderai-faked-ai-700-indian-engineers-files-bankruptcy-microsoft-125060401006_1.html

 

[Parkinsond]

"Fake it until you make it" gone wrong

 

[Trident]

"Fake it until you make it" gone wrong

They didn’t even fake it, there were flags all along. It’s just when companies hear AI, their greed and desire for cost reduction are stronger than anything — including the ability to see flags. This comes after Klarna was begging employees to come back to work cuz the magical AI generated billions in loss.