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Mercor competitor Deccan AI raises $25M, sources experts from India

Read the full articleMercor competitor Deccan AI raises $25M, sources experts from India on TechCrunch

What Happened

Deccan AI concentrates its workforce in India to manage quality in a fast-growing but fragmented AI training market.

Our Take

Look, this is smart arbitrage and it won't last. Deccan's thesis is obvious: hire India, manage quality, undercut US prices. They'll probably crush it for 2-3 years.

But here's the thing—once remote model training labor figures out the game, wage compression hits fast. You're already seeing it in freelance dev rates. In five years, a senior annotator in Bangalore commands nearly what a San Francisco one does. Narrow window. The $25M is seed funding for a commodity business that gets commoditized.

What To Do

If you're outsourcing AI training data labeling, lock in Deccan's pricing now before the market floods.

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