Cluely offers $1M salaries to engineers and $350K to designers in bid for world-class talent

Cluely, the AI startup known for its controversial “cheating” platform, is aggressively pursuing top talent by offering unprecedented salaries, with engineers eligible for up to $1 million annually and designers for $250,000 to $350,000. CEO Chungin “Roy” Lee, 21, announced the compensation packages on LinkedIn, emphasizing that the startup prioritizes “world-class” candidates over traditional hiring metrics like education or experience. The move reflects Cluely’s strategy to build a small, high-performing team focused on rapid innovation, as Lee stated, “startups don’t need 100 people, but a few killers who move insanely fast.” Cluely initially launched as an AI tool to assist users in “cheating on everything,” including job interviews, but faced backlash after Lee’s suspension from Columbia University for sharing disciplinary hearing details. The company later removed interview-cheating references from its website, rebranding as an “undetectable” AI that analyzes user screens to provide real-time answers. Despite the pivot, its core mission remains centered on leveraging AI to bypass challenges in software development and other tasks. The startup secured $15 million in funding led by Andreessen Horowitz in June 2024, which Lee claims will support its growth. However, the high salaries—far exceeding industry averages—raise questions about sustainability. For context, San Francisco entry-level engineers typically earn $75,000, while senior roles reach $235,000. Designers’ salaries range from $80,000 to $172,000. Lee argues that traditional startup models, which underpay and rely on equity, are outdated, stating, “You shouldn’t pay high cash comp” is a “startup truth I disagree with.” Lee personally reviews all applications, scrutinizing portfolios for “how good your work is” and rejecting candidates within two seconds if flaws are detected. Only 1% of applicants advance to interviews, a process he claims is “going very well.” The company’s hiring focus on engineers and influencers aligns with its goal to dominate social media platforms like Instagram and TikTok, aiming for 1 billion views across all platforms. This strategy mirrors trends in AI-driven startups, where lean teams and specialized talent are key to scaling quickly. Industry insiders note the move highlights the intensifying competition for AI expertise. While some founders advocate for small, focused teams—like Windsurf’s Varun Mohan, who suggests three to four people for early-stage product development—others, like OpenAI’s Sam Altman, predict “10-person companies with billion-dollar valuations.” Cluely’s approach risks both attracting elite talent and alienating investors if costs outpace growth. The startup’s shift from “cheating” to emphasizing quality work also underscores the challenges of rebranding in a sector where ethical concerns and public perception are critical. Cluely’s aggressive hiring strategy underscores the high stakes of the AI industry, where companies vie for scarce expertise. By prioritizing compensation and rigorous screening, Lee aims to build a team capable of rapid innovation, but the model’s viability depends on balancing financial demands with measurable outcomes. The startup’s evolution—from a controversial tool to a high-salary AI firm—reflects broader tensions in the sector between innovation, ethics, and the pressure to scale. Evaluation & Context: Cluely’s $1M salary offers are among the highest in the tech industry, signaling a shift in startup recruitment as AI talent becomes a critical asset. Lee’s hands-on hiring approach, while unconventional, aligns with the “superstar” hiring trend seen in companies like OpenAI and Anthropic, where top talent drives breakthroughs. However, the strategy may face scrutiny from investors wary of burn rates, especially as AI startups increasingly prioritize speed over traditional growth metrics. The company’s rebranding from “cheating” to emphasizing undetectable AI tools suggests a pivot toward legitimacy, though its initial controversy could hinder trust. Competitors like Scale AI and Anysphere (Cursor) have also leveraged lean teams and niche AI applications to scale rapidly, indicating a broader industry pattern. Cluely’s $15M funding round, led by Andreessen Horowitz, highlights investor confidence in its vision, but the startup’s success will hinge on delivering scalable products that justify its high compensation and ambitious goals.