The AI graveyard: a running list of projects and startups that didn't make it

Why it matters

This article surveys a growing graveyard of failed AI products, arguing that even well-funded bets routinely collapse. Relay, a workflow automation startup pitched as an alternative to Zapier, shut down after OpenAI and Google built similar automation features directly into their own platforms, leaving stand-alone tools without a reason to exist. Character.ai filed for bankruptcy not long after launching. Citing S&P Global Market Intelligence, the piece reports that a large share of AI initiatives are abandoned by the companies that build them, with causes ranging from weak user demand to technical and scaling problems. The failures span industry giants and startups alike: OpenAI rolled back a confusing ChatGPT redesign and discontinued its Atlas browser, Microsoft's Recall feature drew lasting privacy backlash, Humane's wearable hardware flopped, and Notion Mail is shutting down because users preferred separate AI agents. The piece frames these as lessons for the industry rather than a scorecard of flops.