Highlights:
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Peggy Wang steps down as co-founder of AI startup Ego
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Co-founder Vishnu Hari suffered traumatic brain injury in January attack
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Online backlash follows Wang’s resignation; Y Combinator CEO Garry Tan responds
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Hari confirms signing non-disparagement agreement while recovering
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Peggy Wang, co-founder of the Silicon Valley startup Ego, announced last week that she had stepped down to launch a new company in the consumer AI space. Ego, which is backed by Y Combinator, is an AI-native simulation engine that allows users to create and share 3D animated characters.
In a statement, Wang said she remained “incredibly bullish” on her former co-founder Vishnu Hari and the rest of the team. She explained that her departure was due to “differing visions for the company’s future” and emphasized her continued support for Hari during his recovery.
Wang’s new venture has been accepted into Y Combinator’s F25 batch. She noted that the startup will focus on humanlike AI agents, which she believes have the potential to transform online interaction and social experiences.
Vishnu Hari’s Brain Injury and Recovery
On January 18, Indian-American entrepreneur Vishnu Hari was found bleeding in San Francisco following a violent, unprovoked attack. The assault resulted in a traumatic brain injury that required two weeks of intensive care in the hospital.
Hari later revealed that he suffered partial blindness in his right eye and hearing loss in his left ear as a result of the attack. Several personal items, including jewelry and piercings, were stolen during the incident.
In a post dated February 1, Hari described the assault: “A man hit me on the back of my head with a metal pipe, completely unprovoked… I had no memory of the attack at the time.” This incident and subsequent brain injury have had lasting effects on Hari’s health, but he has since focused on recovery and resuming leadership at Ego.
i was recently discharged from the icu at the sf hospital after traumatic brain injury due to a man hitting me on the back of my head with a metal pipe, completely unprovoked, in the mission in san francisco. this man is known to the police since he’s done this before to other… pic.twitter.com/K663cf9COx
— ????? (@AISinEater) February 2, 2025
Online Backlash and Company Dynamics
Wang’s resignation and the announcement of her new startup drew criticism online. Some commenters accused her of leaving Hari while he was still recovering from his brain injury, framing her move as abandoning her co-founder in a critical time.
The online backlash intensified to the point that Y Combinator CEO Garry Tan publicly defended Wang. Tan warned against abusive or disrespectful behavior, stating that Wang’s actions should not be mischaracterized in the media or on social platforms.
Hari confirmed that as part of Wang’s departure, he was asked to sign a non-disparagement agreement while still recovering from blood clots in his brain caused by the initial assault. Hari emphasized that he agreed to the clause to focus on his health and the company’s future, and he explicitly stated he holds no ill will toward Wang.
there’s a non-disparagement clause i was asked to sign by my forbes 30u30 co-founder when she left the company while i was still healing from the blood clots in my brain ?♂️ so i can’t say anything at all https://t.co/X4n7lU7GZ9
— ????? (@AISinEater) September 26, 2025
Wang’s New Venture
Wang attributed her decision to leave Ego to “differing visions for the company’s future” rather than Hari’s brain injury or the company’s dynamics. She expressed enthusiasm about building her next venture and exploring the potential of AI-driven humanlike agents in social and interactive media.
Despite the controversy, Wang’s public statements reiterated her support for Hari and the rest of the Ego team, highlighting a continued professional relationship even as she embarks on a new startup path.
The story of Ego’s leadership change illustrates the challenges startups face when personal and professional crises intersect. Vishnu Hari’s brain injury continues to shape the company’s narrative, both in public perception and internal decision-making. Meanwhile, Wang’s departure underscores the reality of differing visions in high-stakes AI ventures and the scrutiny leaders face during sensitive periods of recovery.
As Hari focuses on rebuilding his health and the company, both he and Wang remain committed to advancing the AI space, albeit on separate paths. The incident also raises broader conversations about online accountability and the responsibility of communities when responding to sensitive situations involving health crises like brain injuries.
