2026-01-08 16:01:22

A startup claiming to revolutionize development with advanced AI coding tools has been exposed for running one of tech's most elaborate schemes. Builder.ai, valued at $1.5 billion, marketed cutting-edge AI that could automate code writing at scale.

The reality? Behind every "AI-powered" solution stood 700 human developers in India, manually writing code in the shadows. For 8 years, the company maintained this deception while pitching investors and onboarding customers with promises of artificial intelligence innovation.

The gap between marketed capability and actual execution raises serious questions about transparency in the AI space. As the industry races to capitalize on AI hype, this case serves as a stark reminder of the importance of due diligence—not just for investors, but for anyone evaluating claims of technological breakthroughs. When promises of automation turn out to be hidden labor costs, trust becomes the real currency at stake.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

10 Likes

Reward
10
5
Repost
Share

Comment

0/400

ConsensusDissenter

· 01-11 12:46

700 Indian coders have been doing shady work for 8 years. Is this the "AI revolution"? Laughable, it's just the emperor's new clothes.

View OriginalReply0

DataBartender

· 01-10 22:33

Wow, 700 Indian coders have been working for 8 years and still dare to call themselves AI... This is just ridiculous.

View OriginalReply0

RektHunter

· 01-08 16:26

700 Indian developers write code, but it was hyped as AI automation. This scam lasted 8 years before being exposed, hilarious.

View OriginalReply0

GasOptimizer

· 01-08 16:22

700 Indian coders reveal the truth about AI skins, and this number is even more exaggerated than I expected...

View OriginalReply0

BTCWaveRider

· 01-08 16:03

700 Indian programmers support a valuation of 1.5 billion, this AI dream is really outrageous --- Eight years... just like that, it’s a scam, and they really dare to boast --- Promised automation, but turned into outsourcing sweatshops. After so long in Web3, finally seeing some sincerity --- This is why I never trust those "revolutionary" funding news; the more hyped up it is, the more hollow it tends to be --- Ask about AI, ask about automation, ask about 1.5 billion, ask about 700 lines... this story could be written as a technical paper --- So while we’re hyping AI, they’re hyping manpower. Truly high-level --- Another "AI shell, human filling" pie, this industry’s waters are a bit deep

View OriginalReply0