Tesla, Rivian in court over trade secrets

SANZC02

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Compensation structure & figures are one thing, but performance data on specific employees is another (good people to recruit).

Tesla has some valid gripes here, but I strongly believe they're pursuing it for publicity (and possibly employee intimidation) reasons & don't know how they can prove significant financial damage.

All in all, this is a nuisance but not a huge issue for Rivian.
Not sure they have a valid gripe. I have not seen all of the details but seems like most of them are around the 178 ex-Tesla employees currently working at Rivian. From what I understand, only 70 of these came directly from Tesla and the other 108 at one time worked at Tesla before going to some other company.

If you look at the numbers, the current estimates are Rivian has ~3000 employees. That would put the 70 direct hires at 2.3% of the workforce. If you take the entire 178 that is 5.9%. This is still a fairly new industry so these numbers seem to be fairly small considering the pool of available experienced talent in this market.

Then we would need to know when did they get hired. Rivian has been developing these vehicles since 2009 and other than being an EV, are really not competing in the same market.

I wonder if the case would even have been able to move forward if not for the liberal CA courts.





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McRat

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There is an entire multi-billion dollar industry built around LMI (labor market information) and 'head-hunting' that entered the Information Age before Tesla was founded.

That data is used for more than hiring, it's also used for CTE (vocational) program design, and secondary and post-secondary course development for academic institutions among other things (real estate investment, market investment, civil engineering, etc)

While stolen HR info is sweet, it's actual value vs the cost of datasets is not that large anymore.

You are being headhunted right now by AI on the web.
 

McRat

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Elon must is neither a saint nor satan. He is a ambitious man with grand ideas and the guts to risk it all to achieve them. Most people like this fail. For every success story, there is a graveyard filled with unachieved dreams.

Understand this is the guy who sued Top Gear because they hurt his feelings. I'll bet he has dozens of lawsuits as the plaintiff and dozens more as the defendant.

I'm dismayed at his obvious misrepresentation of Full Self Driving in November of 2016. They failed to get a good demo video, so they geofenced and possibly remote-controlled a car to create the video and then halted all California testing the next day. True story, not an internet rumor. I monitored the situation at the time.

FSD is stillborn at this point, but whenever he needs a market price bump, Elon releases another statement about how good the beta testing version works.

If you would have bought TSLA instead of FSD in 2017, you could buy a Model X with the money.
 

Sdvictor

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I don't see this mentioned, but I will state what I see Tesla as doing from a Silicon valley tech employee perspective (I work between Seattle and the Bay Area, but have worked a long time in tech, don't work for AMZ):

Along with Apple, people who work for Tesla can't wait to jump ship. It's not exactly a paragon of a great work environment. I can't tell you how many connections i get from people looking to leave Tesla just months after they join.

WIth California's non-compete ban, this is effectively Musks's way of saying "you can't leave me and work for a competitor" This type of tactic has been used for decades in the valley to ice people leaving for competitors as a warning, and basically required a truce between Apple, Microsoft, Amazon, FB and Google to not keep on suing each other when people kept leaving. Tesla will probably do this to any EV manufacturer that gets close to launch and IPO as most are staffed by ex Tesla employees, most who can't stand Musk. If Tesla moves more to Texas, the bet is most people will stay in California and start/ work for more competitors.

There are obvious cases like Corey Lewandowski (Googler leaving for Uber to do the self driving, but stole code), but most of this is meant to scare key individuals from leaving for greener pastures.
 
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Pherdnut

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Along with Apple, people who work for Tesla can't wait to jump ship. It's not exactly a paragon of a great work environment.
Yeah, they pretty much kicked Musk out of Paypal for being toxic AF. An average Glassdoor rating for a company that prominent and Tesla's senior staff turnover rate is pretty appalling. I think if Musk doesn't take a more hands-off position in the company soon, Tesla's going to lose more talent and market share than it has to.
 

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