Amazon Loss of Executive To Microsoft Sets Up Potential Clash (bloomberg.com) 19
Microsoft said it has hired a former Amazon cloud executive to run its cybersecurity operations, potentially setting in motion a legal battle between the two tech giants. From a report: Charlie Bell, who long reported to former Amazon Web Services chief Andy Jassy and oversaw the engineering teams working on AWS's main software services, will become an executive vice president reporting to Microsoft Chief Executive Officer Satya Nadella. "Cybersecurity is one of the most challenging issues of our time -- for every person and organization on the planet -- and it is core to our mission," Nadella wrote in an email to employees obtained by Bloomberg. Securing customers' digital technology platforms, devices, and clouds "is a bold ambition we are going after and is what attracted Charlie to Microsoft."
[...] Bell's departure to a direct rival is a major blow for Amazon, and Microsoft said it's committed to continuing "constructive discussions" with the cloud leader about Bell's role. "We're sensitive to the importance of working through these issues together, as we've done when five recent Microsoft executives moved across town to work for Amazon," Microsoft said in a statement. Amazon, which has a history of seeking to enforce non-compete agreements vigorously, didn't immediately comment on the move. Bell will officially start his role once "a resolution is reached with his former employer," Nadella wrote in the email.
[...] Bell's departure to a direct rival is a major blow for Amazon, and Microsoft said it's committed to continuing "constructive discussions" with the cloud leader about Bell's role. "We're sensitive to the importance of working through these issues together, as we've done when five recent Microsoft executives moved across town to work for Amazon," Microsoft said in a statement. Amazon, which has a history of seeking to enforce non-compete agreements vigorously, didn't immediately comment on the move. Bell will officially start his role once "a resolution is reached with his former employer," Nadella wrote in the email.
don't like it? (Score:2)
Then don't work for one Washington tech giant and try to leave for another Washington tech giant. They love their non-competes.
Re: (Score:2)
They love arbitration instead of lawsuits. Doesn't mean lawsuits should be done away with.
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arbitration only has teeth because a lawsuit is possible.
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However having to bring up a non-Compete with a high level executive probably is something that might change the law.
We don't care about the poor engineer who is trying to eke out a living, by trying to find a better job close by, so they don't need to relocate. But a high paid executive that is a big enough position (even though they probably get paid much more than they need to live well), that will get the intention of the judges and state government.
No-competes should generally be banned (Score:2)
If this executive is basically bringing his general industry knowledge and his experience in working in the field, and is not bringing specific Amazon company property in the form of data that he had access to, then there should be no clause for objection.
Obviously if he's doing like that ex-Waymo exec did when he went over to Uber, then that is a problem.
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When it comes to executives in large corporations most of them are basically paid not to work during the non-compete period. What do you think the extremely large severance bonuses are for (or at least should be for)? When it comes to the rank and file worker though I agree that if a company wants to impose a non-compete period when the person stops working for them then pay them accordingly.
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The "problem" is that in an oligopoly, experience "in the field" is mostly with one of your major competitors. Industry knowledge is insider knowledge in that case. The solution is more competition - something that neither party wants.
Fine (Score:2)
A pox on both your houses.
Neo-Slavery (Score:3, Interesting)
A bit hyperbolic, yes, but non-compete clauses are really a kind of indentured servitude or slavery. You either work for Company X, or you can't work for anyone in the field for a period of time that will make sure your skills are out of date and you're essentially unhirable. They are fundamentally in opposition to the founding principles of the United States and the federal government should follow the lead of states like California in abolishing them completely.
As long as the guy isn't bringing with him a bunch of proprietary info, just his skills, I don't give two shits if Amazon is pissed. Clearly the guy wasn't happy at Amazon or he wouldn't have been looking for another job, so maybe instead of using non-competes to force people to stay, Amazon should try to fix the culture and environment of its workplace so people don't want to leave. A novel idea, I know, and I have serious doubts that anyone in upper management at Amazon has the necessary level of introspection to even consider this option, but maybe with a little push from federal courts ruling non-compete clauses unenforceable...
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A bit hyperbolic, yes, but non-compete clauses are really a kind of indentured servitude or slavery. You either work for Company X, or you can't work for anyone in the field for a period of time that will make sure your skills are out of date and you're essentially unhirable. They are fundamentally in opposition to the founding principles of the United States and the federal government should follow the lead of states like California in abolishing them completely.
As long as the guy isn't bringing with him a bunch of proprietary info, just his skills, I don't give two shits if Amazon is pissed. Clearly the guy wasn't happy at Amazon or he wouldn't have been looking for another job, so maybe instead of using non-competes to force people to stay, Amazon should try to fix the culture and environment of its workplace so people don't want to leave. A novel idea, I know, and I have serious doubts that anyone in upper management at Amazon has the necessary level of introspection to even consider this option, but maybe with a little push from federal courts ruling non-compete clauses unenforceable...
Indeed, wish i had enough mod points.
What? (Score:2)
Re: (Score:1)
I think you hit the nail on the head there. Charlie was probably in line to replace Andy as AWS CEO (or so he thought), but they brought in external person instead. So Charlie found a good opportunity elsewhere.
Good for us. (Score:1)
The more of their resources they waste on reducing each other's power, the more power everyone else will have, compared to them.
That means more power to us.
Amazon is like a trap then (Score:2)
"Amazon, which has a history of seeking to enforce non-compete agreements vigorously"
This is the kind of thing that a union could help with. But I guess tech bros are so smart they don't need old fashioned institutions like that.