LA AI Startup Details: For the first time, a company worth Rs 17,000 crore was created with AI, only 2 people handle the work.

Business Desk – LA AI Startup Details: 41 year old Matthew Gallagher, resident of Los Angeles, has created a company worth Rs 17,000 crore using AI. This company named Medley was established in just two months with an investment of just ₹ 18 lakh.

Medley is a telehealth startup, which provides online sale and consultation of weight loss medicines. It has grabbed a lot of headlines because its annual revenue has reached around Rs 17,000 crore. Only two people work in this company. These included Matthew and his brother, Elliot.

Code, content and images, all generated by AI

Matthew used AI to create software code, website content, and even images and videos used in advertising. They also used AI bots to handle customer service.

Partnership with external platforms for delivery of medicines

Mathew has partnered with platforms like ‘CareValidate’ and ‘OpenLoop’ to monitor medicine delivery and medical consultations. These companies handle the network of doctors, supply of medicines and shipping logistics. Whereas Medley uses AI for marketing and adding new customers.

Sales of about Rs 3,700 crore in the first year

This company, which was started in September 2024, added 300 new customers in the first month and 1,000 new customers in the second month. In its first full year of operation, the company generated total sales of approximately Rs 3,700 crore.

FDA warns against misleading ads

The US Food and Drug Administration (FDA) has issued a warning to the company about misleading advertisements. Additionally, a lawsuit has also been filed against the company in California for alleged violations of anti-spam laws. In the initial phase, the company’s AI chatbots also made some mistakes, such as quoting wrong prices of medicines.

No plans to hire more employees in future

Mathew says that he has no intention of hiring more employees, because doing so will delay decision making and increase operational costs. However, he jokingly said that he sometimes feels lonely, so in future he may think of hiring someone for ‘companionship’.

This is not Matthew’s first business. In 2016, he started a company named ‘Watch Gang’, which employed 60 people. Despite increasing revenues, the company was never able to make profits. In sharp contrast, ‘Medley’—which is run by just two people with the help of AI—is earning profits worth millions today.

Sam Altman’s prediction came true

In 2024, OpenAI CEO Sam Altman predicted that there would soon be companies run by just one person, but with a valuation of $1 billion. Responding to Matthew’s success, Altman said he would like to meet him.