#FactCheck - Viral Video Falsely Linked to India; Actually from Bangladesh

Artificial intelligence is growing at a rapid pace, with startups promising breakthroughs in industries and attracting billions in investment. Among these was Builder.ai, a London-based company founded in 2016 by an Indian entrepreneur. Once valued at over $1.5 billion, it was known for its game-changing platform that could let anyone build custom apps quickly and affordably with the help of AI.

Yet in 2025, Builder.ai collapsed dramatically, filing for bankruptcy across multiple countries and laying off nearly 80% of its workforce. What was once a celebrated unicorn has become a cautionary tale, exposing not only the risks of hype-driven growth in AI but also inflicting reputational damage on Indian founders in the global startup ecosystem.

The Rise: Big Promises, Big Investors

Builder.ai branded itself as a no-code/low-code app development platform, where its AI assistant “Natasha” would guide customers in creating apps without technical expertise. The pitch was simple and attractive: app development was made “as easy as ordering pizza.” The story resonated with major investors. Backed by SoftBank, Microsoft, and Qatar’s sovereign wealth fund, Builder.ai raised more than $450 million. It scaled rapidly, positioning itself as one of Europe’s most promising AI startups.

The Cracks Appear

Behind the glamour, the first cracks appeared as early as 2019, when The Wall Street Journal reported that Builder.ai’s platform depended far more on human engineers than on the AI automation it advertised. In reality, the much-hyped AI assistant “Natasha” was often just “a guy instead”, i.e., skilled developers in India manually writing code behind the scenes on whose backs the company expanded aggressively. 

The real blow came from Builder.ai’s finances. The company was accused of inflating revenue figures by 300%, with alleged use of round-tripping tactics involving fake invoices that inflated financials.  While it publicly projected revenues of $220 million in 2024, its actual figure was closer to $55 million. When this reality surfaced, investor confidence was lost quickly, and the company’s liabilities ballooned to nearly $100 million, with less than $ 10 million in assets remaining. 

Collapse and Legal Scrutiny

By 2025, the company’s foundations had crumbled. The founder stepped down as CEO but retained the unusual title of “Chief Wizard.” Massive debts to AWS, Microsoft, and other partners mounted into the hundreds of millions. Assets were seized, and the company filed for bankruptcy in the U.S., UK, India, and the UAE.

For clients, the collapse meant abandoned projects. For employees, around 1,000 of them, it meant sudden unemployment. And for investors, it was a devastating loss. The Securities and Exchange Commission and U.S. Attorney’s Office in New York have since launched investigations into potential fraud and investor misrepresentation.

Reputational Damage: Impact on Indian Founders

Perhaps the most enduring consequence of Builder.ai’s downfall is the hit to the credibility of Indian founders on the global stage.

For years, Indian entrepreneurs have earned trust in global tech circles, with leaders heading companies from Google to Microsoft. Indian-led startups abroad were viewed as reliable, innovative, and growth-driven. Builder.ai’s collapse disrupts this narrative.

The allegations of inflated revenue, AI exaggeration, and questionable governance risk reinforcing skepticism among global investors regarding Indian organisational ethics. For other Indian founders seeking international capital, the road has now become tougher: stricter due diligence, harsher scrutiny of claims, and slower trust-building.

This reputational damage arrives at a critical time when India is positioning itself as a global hub for AI and leads the world in AI skill penetration. Rather than highlighting the strength of India’s entrepreneurial and talent ecosystem, the fall of Builder.ai has drawn attention to the risks of overpromising and underdelivering.

Conclusion

The fall of Builder.ai is more than the bankruptcy of one AI unicorn. It is a warning to companies against chasing hyper growth fueled by the riding of the AI wave. While the company’s downfall exposed flaws in governance and accountability, its deeper impact lies in how it dented trust. To drive AI and technology innovation, startups must move beyond flashy valuations and commit to authentic innovation, transparency, and financial integrity.

References

• https://www.moodys.com/web/en/us/insights/lending/moodys-early-warning-in-action-builder-ai.html#:~:text=Despite%20marketing%20itself%20as%20an,fake%20invoices%20that%20inflated%20financials. 
• https://today-innovation.webflow.io/unveiling-the-power-of-natasha-an-ai-assistant-of-builder-ai-to-revolutionize-app-generation 
• https://finance.yahoo.com/news/builder-ais-shocking-450m-fall-170009323.html
• https://www.pib.gov.in/PressReleasePage.aspx?PRID=2108810 
• https://www.cnbctv18.com/technology/how-a-london-based-startups-artificial-ai-gambit-backfired-ws-l-19613692.htm# 

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Introduction

The Ministry of Electronics and Information Technology ( MeitY) through its Information Security Education & Awareness ( ISEA ) came up with an advisory regarding the growing cases of e-challan fraud. Cybercriminals are exploiting the beliefs of individuals by attracting them into clicking malicious links under the impression of paying traffic fines. Cybercriminals employ sending phishing messages and impersonating official e-challan notifications as a primary method. These messages are crafted in such a way that portrays a sense of urgency, provoking individuals to click on a link for spontaneous payment. For building trust, the messages are deviously created by scammers depicting official communication, which in actuality are fake messages targeting individuals for committing online financial fraud.

Unveiling the E-Challan Scam

Scammers send a text message to your phones that closely resembles e-challan alerts. The text appears from the traffic police, informing the netizens of a traffic violation that requires a fine payment. These messages contain a link and a text message urging the recipient to settle the fine by clicking on the links to make the payment.  Scammers have started trapping innocent individuals through such fake messages. These scammers are creating and sending fake messages that look like traffic challan alert messages. However, it is a completely deceptive and fake message. Such messages contain malicious links to fake website, leading users to visit the fake website and enter their bank account details, or make the payment which ultimately leads to financial loss to victims. Cyber scammers have meticulously copied the format used by the traffic authorities however a close examination can help us spot the trap. The modus operandi of such type of scam is to get the targeted individuals to click on a malicious link for payment of traffic e-challan. Once you click on such malicious payment link to pay for the e-challan the individuals unknowingly will end up paying the cyber criminals instead of the police in a bid to discharge the traffic e-challan.

How to spot a fake E-Challan?

• Verify the Vehicle Number: Make sure that the vehicle number mentioned in the message matches your vehicle’s number. Cross-check this information with your vehicle’s number plate or the smart card ( blue book) issued by the Regional Transport Office ( RTO).
• Verify the E-challan Number: Verify the validity of the e-challan number by logging into the official traffic police website or app. Legitimate e-challans will have a corresponding record that can be cross-checked for authenticity. The challan number can be verified by logging in to the official e-challan website. It is always advisable to Visit the official government website to check if you have actually been fined.
• Inspect the Message Content: Give attention to the language inculcated in the message. Hackers' messages may contain grammatical errors or unusual phrases. For example, cybercriminals might encourage victims to visit the RTO office in person. Trying to build up confidence among the victims. Also, it is important that you do not make such payments in haste. Vehicle owners must check such messages carefully before clicking on any link.

Best Practices to Stay Safe

• Be aware of unbidden messages: Be cautious when you receive unsolicited e- challan notifications. Abstain yourself by clicking on links or downloading attachments from unknown sources. 
• Always stick to legitimate or official websites: The scammers use links which look similar to the official link, and a casual glance can miss the difference. Hence it is strictly advisable to visit the official websites only. Also do note that government websites will always have the domain '.gov.in'.  The official website of Traffic Challan is https://echallan.parivahan.gov.in/ 
• Get it cross-checked through official channels: Always cross-check the authenticity of an e-challan by directly accessing official channels, such as the official traffic police website or application. 
• Connect with the RTO directly: If in doubt, independently connect with the Regional Transport Office ( RTO) using official contact details to verify the authenticity of the e-challan.  It is best not to solely rely on information received from suspicious messages. 
• Software update: Make sure that your device’s security software is up to date to protect against malware and phishing scams.

Conclusion:

Cybercriminals are exploiting the fear of traffic fines to trick individuals into clicking on malicious links and revealing their personal and financial information. These scams can lead to significant financial losses for the victims. To stay safe, it is important to be cautious of unsolicited messages, verify the authenticity of e-challans through official channels, and avoid clicking on links or downloading attachments from unknown sources. Awareness is the first line of defence in the evolving landscape of online threats. 

References:

• https://economictimes.indiatimes.com/news/new-updates/ahmedabad-residents-duped-out-of-lakhs-in-e-challan-scam-cops-arrest-jharkhand-man/articleshow/103528317.cms
• https://economictimes.indiatimes.com/wealth/save/new-traffic-e-challan-fraud-heres-how-to-identify-scam-messages-and-avoid-getting-duped/articleshow/104960817.cms
• https://www.ndtv.com/india-news/explained-the-new-e-challan-scam-how-we-can-escape-it-4342129

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Introduction

26th November 2024 marked a historical milestone for India as a Hyderabad-based space technology firm TakeMe2Space, announced the forthcoming launch of MOI-TD “(My Orbital Infrastructure - Technology Demonstrator)”, India's first AI lab in space. The mission will demonstrate real-time data processing in orbit, making space research more affordable and accessible according to the Company. The launch is scheduled for mid-December 2024 aboard the ISRO's PSLV C60 launch vehicle. It represents a transformative phase for innovation and exploration in India's AI and space technology integration space. 

The Vision Behind the Initiative

The AI Laboratory in orbit is designed to enable autonomous decision-making, revolutionising satellite exploration and advancing cutting-edge space research. It signifies a major step toward establishing space-based data centres, paving the way for computing capabilities that will support a variety of applications. 

While space-based data centres currently cost 10–15 times more than terrestrial alternatives, this initiative leverages high-intensity solar power in orbit to significantly reduce energy consumption. Training AI models in space could lower energy costs by up to 95% and cut carbon emissions by at least tenfold, even when factoring in launch emissions. It positions MOI-TD as an eco-friendly and cost-efficient solution.

Technological Innovations and Future Impact of AI in Space

This AI Laboratory, MOI-TD includes control software and hardware components, including reaction wheels, magnetometers, an advanced onboard computer, and an AI accelerator. The satellite also features flexible solar cells that could power future satellites. It will enable the processing of real-time space data, pattern recognition, and autonomous decision-making and address the latency issues, ensuring faster and more efficient data analysis, while the robust hardware designs tackle the challenges posed by radiation and extreme space environments. Advanced sensor integration will further enhance data collection, facilitating AI model training and validation.

These innovations drive key applications with transformative potential. It will allow users to access the satellite platform through OrbitLaw, a web-based console that will allow users to upload AI models to aid climate monitoring, disaster prediction, urban growth analysis and custom Earth observation use cases. TakeMe2Space has already partnered with a leading Malaysian university and an Indian school (grades 9 and 10) to showcase the satellite’s potential for democratizing space research. 

Future Prospects and India’s Global Leadership in AI and Space Research 

As per Stanford’s HAI Global AI Vibrancy rankings, India secured 4th place due to its R&D leadership, vibrant AI ecosystem, and public engagement for AI. This AI laboratory is a step further in advancing India’s role in the development of regulatory frameworks for ethical AI use, fostering robust public-private partnerships, and promoting international cooperation to establish global standards for AI applications. 

Cost-effectiveness and technological exercise are some of India’s unique strengths and could position the country as a key player in the global AI and space research arena and draw favourable comparisons with initiatives by NASA, ESA, and private entities like SpaceX. By prioritising ethical and sustainable practices and fostering collaboration, India can lead in shaping the future of AI-driven space exploration.

Conclusion

India’s first AI laboratory in space, MOI-TD, represents a transformative milestone in integrating AI with space technology. This ambitious project promises to advance autonomous decision-making, enhance satellite exploration, and democratise space research. Additionally, factors such as data security, fostering international collaboration and ensuring sustainability should be taken into account while fostering such innovations. With this, India can establish itself as a leader in space research and AI innovation, setting new global standards while inspiring a future where technology expands humanity’s frontiers and enriches life on Earth.

References

• https://www.ptinews.com/story/national/start-up-to-launch-ai-lab-in-space-in-december/2017534 
• https://economictimes.indiatimes.com/tech/startups/spacetech-startup-takeme2space-to-launch-ai-lab-in-space-in-december/articleshow/115701888.cms?from=mdr 
• https://www.ibm.com/think/news/data-centers-space ‍
• https://cio.economictimes.indiatimes.com/amp/news/next-gen-technologies/spacetech-startup-takeme2space-to-launch-ai-lab-in-space-in-december/115718230