Tue Jan 28 00:59:05 UTC 2025: ## Zoho Co-founder Sridhar Vembu Steps Down as CEO to Focus on AI and Rural Development

**PLEASANTON, CA – [Date of Publication]** – Zoho Corporation announced a significant leadership change today, with co-founder Sridhar Vembu transitioning from CEO to Chief Scientist. Vembu will dedicate his time to research and development, particularly focusing on leveraging recent advancements in artificial intelligence (AI), and his personal rural development projects.

Shailesh Kumar Davey, previously Vice President of Engineering at Zoho’s ManageEngine division, has been appointed as the new Group CEO. Tony Thomas will lead Zoho US, Rajesh Ganesan will head ManageEngine, and Mani Vembu will lead the Zoho.com division.

Vembu cited the rapid advancements in AI as the primary driver behind his decision. In a statement on X, he expressed his excitement about focusing on R&D challenges and contributing to Zoho’s AI strategy.

Zoho, initially founded as AdventNet in 1996, has grown into a global technology provider offering a wide range of solutions including CRM, supply chain management, workspace tools, and human capital management. The company is known for its integrated product ecosystem and self-built infrastructure, which analysts say provides a strong foundation for its AI initiatives.

Industry experts believe this transition will allow Vembu to concentrate on Zoho’s long-term AI strategy, particularly its multimodal approach and the development of custom AI solutions. The recent partnership with NVIDIA further underscores Zoho’s commitment to AI innovation. Meanwhile, the appointment of Davey ensures operational continuity within the company.

Analysts predict minimal disruption to Zoho’s daily operations due to its strong leadership team and decentralized structure. The company is expected to continue its focus on providing user-friendly, integrated business solutions, seamlessly incorporating AI capabilities.

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