AI labs are buying data from dead startups to train their models
AI labs are buying code and workplace data from failed startups, including Google's $10 million Spirit Airlines purchase.
AI labs and data vendors are buying code and workplace archives from shuttered startups as public and synthetic training data run short. SimpleClosure says its Asset Hub has handled over 150 deals, 47% now include code or data, and it expects to return more than $10 million by the end of 2026. In Spirit Airlines' bankruptcy, Google outbid Mercor with a $10 million purchase covering 100 million emails, 500 million Teams messages, and 176,000 employee records. Lawyers and a law professor warn the archives can contain sensitive personal information, while no federal law bans such sales and proceeds generally flow to creditors and investors.
- SimpleClosure has handled over 150 deals and expects more than $10 million returned by the end of 2026.
- Google paid $10 million for Spirit data: 100 million emails, 500 million Teams messages, and 176,000 employee records.
- Forty-seven percent of SimpleClosure deals now include code or workspace-data sales.
- Attorneys warn emails and calendars can contain sensitive personal details despite scrubbing.
- Sale proceeds typically go to creditors and investors, not employees.
- Vendors
From the original article
4 min read at technologyreview.com
When Keelan Miskell began winding down his crypto startup this year, he didn’t think its data was worth much: the users were anonymous, the company just a few years old. But he’s since turned the firm’s digital archives into real money. He’s netted roughly $25,000 for his code base and a still-pending amount (likely around…
By Matthew King · technologyreview.com
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