Builder.ai, founded by Sachin Dev Duggal, experiences a significant setback amidst the AI industry's growth surge.
In the aftermath of Builder.ai's bankruptcy, which occurred in mid-2025 due to inflated revenue claims, financial mismanagement, and creditor seizures, Sachin Dev Duggal, the company's former CEO, has been reportedly delving into new business opportunities.
builder.ai's downfall, which took less than a year, left a trail of creditors and some of the world's top tech investors reeling in its wake. The International Business Times reported that Builder.ai's AI platform was relying on a group of Indian developers pretending to be bots writing code.
Duggal, who is known as the "chief wizard" of Builder.ai, a London start-up that grew into one of Europe's biggest and buzziest AI unicorns, stepped down as CEO in early 2025 but held onto board roles initially and the title "chief wizard". However, he was later requested to give up most of his board seats as part of restructuring efforts during insolvency.
Since Builder.ai's collapse, Duggal has remained mostly out of the public eye but has been actively exploring new ventures. No widely reported or confirmed new venture led by Duggal has emerged publicly yet. Sources close to the matter indicate he is pursuing new business opportunities, but no detailed information or updates on any specific new venture have been disclosed as of August 2025. Thus, the current status is that he appears to be in early-stage exploration or planning rather than having launched a fully operational new venture post-Builder.ai collapse.
Before Builder.ai, Duggal's struggle to find competent software developers for Shoto led to the creation of Engineer.ai in 2016. However, within three years, Engineer.ai was accused by his former chief business officer of overstating its technical abilities, using two sets of books, and making transfers to his private accounts.
Duggal's next venture, Shoto, was short-lived. He raised more than half a billion dollars from investors like Microsoft and Qatar's sovereign wealth fund with the pitch that Builder.ai could make building apps "as easy as ordering pizza". However, the launch of ChatGPT in late 2022 was a catalyst for the cash inflow for Builder.ai's idea of "democratising programming for the masses".
As investigations into the collapse of Builder.ai continue, Duggal is currently keeping a low profile in Dubai. He and his family moved to Dubai last summer, leaving behind an unexploded bomb. The dispute between Duggal and his former chief business officer prompted a rebrand to Builder.ai in 2019. By the following summer, Microsoft, Qatar's fund, and several other investors, including Lakestar, Iconiq Capital, Singapore's Jungle Ventures, and Jeffrey Katzenberg's WndrCo, were on board.
Despite the controversies surrounding his past ventures, Duggal remains optimistic. He claims, "I'm proud of the team who dared to build a bold ambition. Every success was theirs; the failures were mine." He is actively fundraising for a new venture to help others navigate the wild world of start-ups and AI.
As we wait for Duggal's next move, the collapse of Builder.ai marked the start of the first big bust of the AI boom, according to the Financial Times. The deception and false figures presented by Builder.ai to investors and two Big Four auditors were sustained for eight years. The tech industry will be watching closely to see what Duggal does next.
Sachin Dev Duggal, known for his previous involvement in finance and technology, is reportedly exploring new business opportunities, possibly in the realm of investing and business, following the collapse of Builder.ai. Despite the controversies surrounding his past ventures, Duggal continues to actively raise funds for a new AI-focused venture, which he believes will help others navigate the startup world.
