Clearview AI CEO Hoan Ton-That Steps Down Amid Leadership Shift

Hoan Ton-That, the CEO and co-founder of Clearview AI, has resigned from his role, marking a significant leadership transition for the controversial facial recognition company. Known for building a database of 30 billion images scraped from the internet, Clearview AI has long been at the center of legal and ethical debates over data privacy and surveillance. Despite stepping down as CEO, Ton-That will remain on the company’s board of directors.

In a statement, Ton-That said that "it is time for the next chapter in my life," but did not provide further details on what led to his decision. The news was first reported by Forbes. Following his resignation, the company announced a new dual leadership structure, appointing Hal Lambert and Richard Schwartz as co-CEOs. According to a statement from Clearview AI, the two executives aim to "capitalize on new opportunities" under the Trump administration.

Both Lambert and Schwartz have strong ties to Republican politics. Lambert is the founder of Point Bridge Capital, an investment firm best known for launching the MAGA ETF in 2017, which focuses on companies supporting Republican candidates. Schwartz previously served as a senior advisor to Rudy Giuliani during his tenure as New York City mayor. The leadership change signals a strategic shift for the company as it looks to expand its reach amid evolving political landscapes.

Clearview AI provides facial recognition technology to law enforcement agencies and federal institutions to help identify suspects and locate missing persons. However, the company has been repeatedly sued for privacy violations, as it collects photos without users' consent. European regulators, including authorities in France and the Netherlands, have imposed over $100 million in fines under the General Data Protection Regulation (GDPR). Clearview AI has not paid these fines and has largely remained uncooperative with European regulators. The company did not respond to TechCrunch’s request for comment regarding whether any payments have been made.

In addition to regulatory challenges, Clearview AI was previously involved in a legal dispute with conservative investor Charles Johnson, who claimed he was a co-founder and entitled to a share of commissions. Johnson recently dropped the lawsuit, according to court filings, but Clearview AI has filed counterclaims alleging defamation and breach of contract, which remain active.

Despite legal hurdles, the company asserts that it is financially stronger than ever. In his resignation statement, Ton-That said that Clearview AI is in its "strongest position ever," with record growth and revenue in 2024. However, according to Forbes, the company has struggled to secure major federal contracts and remains unprofitable.

Clearview AI has received funding from high-profile investors, including Peter Thiel and Naval Ravikant. In 2021, the company raised $30 million in a Series B funding round, bringing its valuation to $130 million. As the company navigates leadership changes and ongoing legal battles, its future direction will likely depend on regulatory developments and its ability to expand its client base.