AI Startups and the Case of the Allegedly Missing Trade Secrets
A second lawsuit filed by an artificial intelligence company alleging a former employee stole trade secrets has been filed in California, just days after Elon Musk’s xAI alleged it had recently experienced corporate espionage. In this case, Scale AI, a leading AI data-labeling firm, sued competitor Mercor Inc. in federal court Wednesday, accusing the startup and a former employee of misappropriating trade secrets to win new business. Scale is valued at approximately $29 billion following a mas