Artificial Intelligence · Profile from AI Research Companion
Builder.ai
The London start-up, founded by Sachin Dev Duggal in 2016 as Engineer.ai, that sold custom app development to businesses as if it were an AI product. Customers described what they wanted to an AI assistant called "Natasha", and Builder.ai said its platform assembled most of the software from reusable components, with human developers doing the rest. It raised ~$450m or more (reported) from investors including Insight Partners, SoftBank's DeepCore, Jungle Ventures, Iconiq, the Qatar Investment Authority (QIA) and Microsoft, and was valued at ~$1.5bn in 2023 (reported). In 2025 it collapsed within four months: Duggal stepped down as chief executive in February, an internal review found that 2024 revenue presented to investors as ~$220m was nearer ~$55m (Bloomberg/FT, May 2025), lenders led by Viola Credit swept ~$37m from its accounts, and the company entered insolvency in the UK and filed for Chapter 7 liquidation in Delaware (June 2025). US federal prosecutors in Manhattan sought its records. It is this companion's main case of AI washing: a services business with software-company marketing and a software-company valuation, undone by revenue quality and governance rather than by any failure of a model (section 23).
At a glance
- Founded
- 2016, London, by Sachin Dev Duggal, as Engineer.ai Corporation; later renamed Builder.ai (rebrand date not confirmed, ~2020–21, verify). Saurabh Dhoot was listed early as a co-founder; the company later said he was not involved in founding it (he sat on the board 2018–2022, reported)
- Headquarters
- London, with large engineering and operations teams in India and offices in the US, UAE and elsewhere (reported)
- Ownership / structure
- Private, venture-backed. Main US holding company and UK parent; in insolvency from May 2025 (UK) and Chapter 7 liquidation in the US Bankruptcy Court for the District of Delaware (filing listed creditors dated 2 June 2025, reported)
- Leadership
- Sachin Dev Duggal (founder, CEO to 27 February 2025, then "chief wizard" and board member, reported); Manpreet Ratia (CEO from February 2025, oversaw the collapse); Andres Elizondo (former CFO, subpoenaed to a Manhattan grand jury in August 2025, reported as not a target)
- AI products
- "Natasha" AI assistant for scoping projects; Builder Studio (app assembly from reusable "building blocks"); Builder Cloud (resold cloud hosting); Builder Care (maintenance); Studio Store templates; integration with Microsoft Teams and Azure (2023)
- Scale
- ~$29.5m Series A (November 2018); 2024 revenue presented to investors as ~$220m, revised to ~$55m (reported, May 2025); forecasts for H2 2024 cut ~25% in mid-2024 (reported); ~1,000 people laid off (~80% of staff) by June 2025 (reported); India developer network cited at up to ~700 engineers in 2025 coverage (reported)
- Capital raised
- ~$450m or more in total (reported; trackers range from ~$380m to ~$450m); Series A $29.5m (November 2018); ~$65m Series B (2021, reported, verify); $100m Series C led by Insight Partners (2022, reported); ~$250m Series D led by QIA at ~$1.5bn (May 2023, reported; some sources say $230m); debt from lenders led by Viola Credit (~$50m, October 2024, reported)
- Key partnerships
- Microsoft (strategic partnership and equity investment, May 2023; Teams and Azure integration); cloud suppliers including Amazon Web Services and Microsoft Azure (both later listed among creditors, reported)
- Signature moves (incl. failures)
- Engineer.ai founding and the Natasha pitch (2016); Series A and the Holdheim lawsuit (2018–19); the WSJ "human engineers" report (2019); the Insight-led Series C and Builder Studio push (2022); the Microsoft partnership (2023); the QIA-led Series D at ~$1.5bn (2023); Duggal steps down (2025); the revenue restatement and Viola cash sweep (2025); insolvency, Chapter 7 and investigations (2025–26)
9 strategic moves analysed
Each one gets a full strategy file in the companion: context, the decision, the financing, what happened, and the lesson.
2016
Engineer ai Founding and the Natasha Pitch
Founding
2018
Series A and the Holdheim Lawsuit
Funding round / lawsuit
2019
WSJ Human Engineers Report
Press exposé / reputational response
2022
Insight Led Series C and Builder Studio
Funding round / product launch
2023
Microsoft Partnership and Azure Teams Integration
Partnership / strategic investment
2023
QIA Led Series D at 1 5bn
Funding round
2025
Duggal Steps Down and the Chief Wizard
Leadership change / governance restructuring
2025
Insolvency Chapter 7 and Investigations
Shutdown / insolvency / investigation
2025
Revenue Restatement and the Viola Cash Sweep
Restatement / lender enforcement