AI startup Cluely redefines "cheating," says Ivy League dropout co-founder
Just months ago, Neel Shanmugam decided to drop out of his Ivy League university to forge his own path. Today, he is the co-founder and chief operating officer of Cluely, a San Francisco-based artificial intelligence startup that has raised millions in venture capital in under a year.
"I'm pretty certain I learned nothing from the 2½ years at Columbia. Like zero things in the Columbia classroom," Shanmugam said. "Uh, the one class I learned, I did a bartending class at Columbia, that's probably like the only class I took anything away from."
Shanmugam, who grew up in the United States after his parents emigrated from India, said the Ivy League path didn't feel right. Alongside co-founder Chungin "Roy" Lee, he made the decision to skip college, a move his parents initially resisted.
"I totally blindsided them with it. So, they were very not happy, I guess, with the decision," he said. "That was the main difficulty. But I think I talked them through it, and in the end, they were very supportive. Because it was very clear … I knew internally so, so strongly that this was something I wanted to do."
Cluely builds AI-powered tools designed to give users an advantage in real time, something the founders describe as "cheating to win."
Its software can, for example, suggest responses during job interviews, flag key points in meetings, and help users quickly adapt to unfamiliar topics. Shanmugam said the idea is to rethink traditional measures of preparedness, especially as AI changes the nature of knowledge work.
Reflecting on his decision to drop out, he says he feels confident about his pivot.
"A degree is not going to save you," he said. "I think, like, actually doing things is going to save you. In a world where AI is everywhere, you actually going and doing things and building things and creating things is like what you need to be doing."
While Shanmugam doesn't advise students to follow his exact path, he said dropping out was right for him. He and several teammates now live out of their San Francisco office to focus entirely on the company.
"I think you have to be in San Francisco, because this is where people are doing things," he said. "And you need to be where people are doing things to give yourself the best chance at success."
It's the kind of calculated risk Shanmugam believes defines both the startup world and the shifting landscape of education, and the kind of edge Cluely is betting will resonate with a generation comfortable blurring the lines between studying hard and working smart.