“In light of the various challenges and opportunities we face, particularly with recent advancements in AI, I believe I should dedicate my efforts entirely to research and development initiatives while also pursuing my mission for rural development.”
Sridhar Vembu, co-founder and CEO of Zoho Corp, which operates in Chennai and the US, will resign from his position as CEO. He will transition into a new role as Chief Scientist, focusing on significant R&D projects. Shailesh Kumar Davey, another co-founder, will take over as the new group CEO.
Co-founder Tony Thomas will manage Zoho US, while Rajesh Ganesan will oversee the ManageEngine division, and Mani Vembu will lead the Zoho.com division, according to a post by Sridhar Vembu on social media.
Vembu stated that due to the various challenges and opportunities ahead, especially in the field of Artificial Intelligence (AI), he has decided to concentrate fully on R&D efforts and his mission for rural development.
He expressed enthusiasm about his new role, stating that the company’s future hinges on successfully addressing R&D challenges and that he looks forward to engaging in hands-on technical work again.
Regarding AI, Vembu mentioned in November 2024 that he has been extremely busy adapting to the AI landscape. He emphasized that every tech company must navigate this shift carefully, as it presents both significant opportunities and formidable challenges. He noted that success must be earned rather than guaranteed.
Interestingly, Vembu was co-chair of a central committee tasked with establishing three AI Centers of Excellence focused on Healthcare, Agriculture, and Sustainable Cities.
Notably, Girish Mathrubootham, founder of Freshworks and a former employee at Zoho, stepped down as CEO in May 2024 to allow President Dennis Woodside to take over. One reason for this change was his desire to spend more time with the R&D team in Chennai on developing AI-driven products.
Zoho’s website highlights that Vembu has always been committed to building a company without relying on venture capital or private equity funding.
“Because we have never accepted investment money, we can prioritize what is best for our customers. This freedom allows us to focus on long-term goals rather than short-term profits,” states the company’s website.
“This independence influences our problem-solving approach, enabling us to think outside the box. Our unique methods have contributed to our growth to over 15,000 employees and 100 million users globally,” the company adds.
Zoho’s journey began in 1996 when Vembu and his co-founders launched AdventNet (the parent company of Zoho) with an emphasis on network management. In May 2009, they rebranded AdventNet Inc. as ZOHO Corporation.
Today, with more than 55 applications spanning nearly all major business sectors, Zoho has established itself as one of the leading technology companies worldwide. Headquartered in Chennai, India, Zoho is privately owned and profitable, employing over 15,000 people.
