The sneaky way Big Tech is acquiring AI unicorns without buying the companies

Technology

In this article

Microsoft, Google and Amazon along with other tech companies have been getting creative in how they’re poaching talent from top artificial intelligence startups.

Earlier this month, Google signed an unusual deal with Character.ai to hire away its prominent founder and more than one-fifth of its workforce while also licensing its technology. It looked like an acquisition, but the deal was structured so that it wasn’t. Google wasn’t the first to take this approach.

Microsoft laid the groundwork in its deal with Inflection, closely followed by Amazon’s faux acquisition of Adept.

It’s a playbook that skirts regulators and their crackdown on Big Tech dominance, provides an exit for AI startups struggling to make money and allows megacaps to pick up the talent needed in the AI arms race.

But while tech giants might think they’re outsmarting antitrust enforcers, they could be playing with fire.

Watch the video to learn more.

Articles You May Like

British oil giant BP posts weakest quarterly earnings in nearly four years on lower crude prices
New Tardigrade Species Hypsibius henanensis Reveals Unique Radiation Survival Mechanisms
Search for bodies inside cars and homes after deadly flash floods in Spain
Chevron beats earnings expectations, returns more than $7 billion to shareholders
Betting the Breeders’ Cup: Is it time for City of Troy?