Acqui-hiring

The phenomenon gained widespread attention in the 2010s due to media coverage of tech firms, although acqui-hiring has been reported in a variety of industries.

[3] In the early 2010s, acqui-hiring attracted widespread media attention because of some high-profile acquisitions by large software companies such as Facebook, Microsoft, Twitter, and Google.

[4] Although access to talented employees is one of the key factors driving the competitive advantage of companies, the best way to attract this human capital is a matter of debate.

[2] Often, the company was purchased both for its human capital and intellectual property such as patents, software, datasets, or trade secrets.

A 2014 analysis of media reports found that Facebook, Google, Twitter, Zynga, Yahoo, and LinkedIn were the most prolific acqui-hirers, and that others included Palantir, Airbnb, and HubSpot.

[30] Acqui-hiring has been observed in a variety of sectors such as agriculture, consumer products, energy management, professional services, utility infrastructure, and warehousing.

[2] Since its peak in the early 2010s, acqui-hiring has continued to evolve, influenced by factors such as the rise of remote work and the gig economy.

For instance, companies are increasingly targeting remote-first startups to diversify their talent pools across geographic regions.

While it offers significant benefits, success often hinges on the ability to integrate new teams effectively and align their goals with the broader organizational vision.

[4][36] Business researchers Kaushik Gala and Brandon A. Mueller argue that acqui-hires whose product was based on open-source technologies are more likely to be successful, because it is easier for the acquirer to evaluate the expertise of the engineers.

[18] Acqui-hiring may give rise to investor claims such as fraud, breach of fiduciary duties, fraudulent transfer, and successor liability.