Amazon has filed a lawsuit against its former employee for allegedly breaching their non-compete contract. In doing so, the company inadvertently revealed that it has plans to launch its own business productivity apps.
The e-commerce giant sued its former Amazon Web Services (AWS) vice president, Gene Farrell, who joined a startup company, Smartsheet, as reported by Business Insider. Amazon said that prior to leaving AWS, Farrell had access to the cloud-computing unit’s “most critical confidential and proprietary information,” including its strategy, clients, and new products in the pipeline.
Because AWS currently does not have a product that directly competes with Smartsheet, the details of Amazon’s lawsuit suggest that the company is working on business productivity apps that would compete with what Smartsheet, Microsoft, Google and other companies are currently offering.
Under the lawsuit, Amazon wants the court to rule that Farrell should not be working with Smartsheet for the duration of their non-compete clause, in this case, 18 months. Farrell “cannot possibly forget everything he knows about AWS’s products and plans while he is working to develop products for its competitor,” Amazon said, as reported by Fortune.
Smartsheet CEO Mark Mader told Fortune that he thinks this is a message from the e-commerce company that other startups and firms should be careful when hiring Amazon employees. Tech executives have been moving between Amazon and Microsoft for years, so it is not clear what’s the motivation in Amazon’s case against Farrell.
Mader said in a statement about the suit that his company is “surprised by what we see as an enormous overreach in terms of how Amazon is defining productivity software as it relates to their competitive set. Smartsheet partners and integrates, versus competes, with storage, document creation, and communication platforms.” He added that Smartsheet views Amazon as a partner opportunity.
How to get good service from a bad airline
You can still get good service from airlines with bad customer ratings by being polite and lowering your expectations.
The pros of trading oil and gold together
Why it makes sense to trade these two top commodities together?
Will millennials decide the next election?
The recent Democratic presidential primary debates were a lot of fun—said no one.
Why the markets don’t care about the news
Could the NASDAQ reach 10,000 by 2020?
Tax forgiveness: Are you a good fit for the Fresh Start Program?
Many people are unable to pay their taxes every year, so the government created the IRS Fresh Start Program to...
- Featured4 weeks ago
Cash is past: How modern fintech will drive cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) into the financial mainstream
- Business4 weeks ago
How small construction companies can embrace new technology
- Featured4 weeks ago
Naspers holds Tencent captive
- Business3 weeks ago
Why big data and machine learning is the future for commercial real estate