Core Insights - Major tech companies like Microsoft, Google, and Amazon are creatively acquiring talent from leading AI startups through unconventional deals that resemble acquisitions without being classified as such [1] - Google recently signed a deal with Character.ai to hire its founder and over 20% of its workforce while licensing technology, indicating a trend in the industry [1] - This strategy allows tech giants to circumvent regulatory scrutiny while providing struggling AI startups with an exit strategy, thus intensifying competition in the AI sector [1] Company Strategies - Google’s deal with Character.ai is notable for its structure, which allows for talent acquisition without triggering regulatory concerns [1] - Microsoft initiated this trend with its agreement with Inflection, setting a precedent for other tech companies [1] - Amazon followed suit with a similar approach in its engagement with Adept, showcasing a collective strategy among major players in the tech industry [1] Industry Implications - The tactics employed by these tech giants may be seen as a way to outmaneuver antitrust regulators, but they carry inherent risks [1] - The ongoing competition for AI talent is intensifying, as these companies seek to bolster their capabilities in the rapidly evolving AI landscape [1]
The sneaky way Big Tech is acquiring AI unicorns without buying the companies