Latest news with #Bouaziz
Axios
3 days ago
- Business
- Axios
Deel and Rippling's espionage fight keeps escalating
Deel and Rippling are scheduled for a California court hearing in September, to begin hashing out their dueling charges of corporate espionage. Until then, it seems the HR software unicorns plan to keep escalating. The latest: Rippling yesterday filed an amended complaint against Deel, which includes claims that Deel also illicitly targeted four other competitors (only one of which was named). It also gets more explicit in accusing Deel CEO Alex Bouaziz of orchestrating the alleged plot, and adds a RICO charge with references to the defendants as part of a "criminal syndicate." Catch up quick: This comes just days after Deel filed its own amended complaint, having countersued in April, alleging that a Rippling employee impersonated a Deel customer to access some of Deel's systems. There are some parallel legal proceedings in Ireland, which could impact the California timeline. Why it matters: There's a ton of venture capital at stake. Deel has raised $680 million, most recently in 2012 at a $12 billion valuation. Rippling has raised $1.85 billion, most recently last month when it raised $450 million at a $16.8 billion valuation (with a $200 million tender to follow). Why it matters less: This fight doesn't seem to be hurting either company in the eyes of customers or investors. Deel recently announced that it surpassed a $1 billion revenue run rate in Q1 2025, plus 75% year-on-year revenue growth between April 2024 and April 2025. It's also been profitable for the past three years, and the board continues to support Bouaziz. Rippling remains unprofitable, but did just manage to score that new funding. One source close to Deel suggests that the rivalry is more intense in court than in the marketplace, arguing that Deel focuses more on companies with global workforces whereas Rippling targets startups and other companies that are predominantlydomestic. There is overlap in both areas, as the lawsuits have shown, but it's not constant.
Yahoo
7 days ago
- Business
- Yahoo
Deel eyes more acquisitions after hitting $1 billion annual revenue run rate
By Jaspreet Singh (Reuters) - Payroll startup Deel said on Tuesday it crossed $1 billion annual revenue run rate in the first quarter and has earmarked up to $500 million for acquisitions this year to bolster growth. Customers use Deel's global payroll platform to manage their international workforce. Deel, which acquired Safeguard Global's payroll division for an undisclosed amount in March, allocated an M&A budget of between $200 million and $500 million this year, CEO Alex Bouaziz told Reuters. The San Francisco, California-based company is still aiming for a 2026 U.S. initial public offering, but it depends on macroeconomic conditions. Deel said its revenue rose 75% for the twelve months ended April 30. It reported earnings before interest, taxes, depreciation, and amortization margin of 16% for the first quarter, ended March 31. Bouaziz said he does not know if the company will be able to keep growing at the same level, but "we are going to try our best." Founded in 2019, Deel provides services to help companies hire international employees and contractors while ensuring compliance with local labor laws. It also automates payroll processing for businesses operating across multiple countries. Deel — which has 6,500 employees and more than 35,000 customers including AI startup ElevenLabs, Nike, Klarna, and Shopify — competes with companies such as Rippling, Omnipresent and Automatic Data Processing. "We believe in the idea that typically, the service you get is tied to how much you are willing to pay ... Deel is a bit more premium than most companies," Bouaziz said. In March, rival Rippling filed a lawsuit against Deel alleging racketeering, misappropriation of trade secrets and unfair competition, among others. Deel filed its own lawsuit for defamation in April, saying Rippling has been running a multi-year smear campaign against it. The company also believes the allegations by Rippling are driven by the fact that "Deel is winning in the market." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
02-04-2025
- Business
- Reuters
Former Rippling employee admits to spying for rival firm Deel
April 2 (Reuters) - A former employee of HR software company Rippling has confessed to spying for Deel Inc under the directive of the rival firm's CEO, an affidavit made public in an Irish court showed on Wednesday. Rippling last month filed a lawsuit against Deel alleging racketeering, misappropriation of trade secrets, tortious interference, unfair competition, as well as aiding and abetting a breach of fiduciary duty. The former employee, Keith O'Brien, said he was recruited by Deel CEO Alex Bouaziz to pass on confidential information about Rippling for about 5,000 euros per month. O'Brien, who was planning to leave Rippling to focus on his consulting business, disclosed that Bouaziz had suggested he remain at his job and become a spy for Deel. "Alex told me he 'had an idea.' ...and I recall him specifically mentioning James Bond," O'Brien said. O'Brien said he was asked to provide information regarding Rippling's ways of doing things, including corporate strategy, customer insights and "other interesting company information". He added he was asked to communicate with Bouaziz's father, Deel CFO Philippe Bouaziz, regarding payments. All communication among the three took place on messaging platform Telegram and was set to automatically delete after 24 hours. "Alex was particularly interested in Rippling's strategies around global payroll and expansion efforts, as well as reviewing specific sales, marketing information, and customer details," O'Brien wrote. However, Rippling eventually became aware of the espionage and set up a trap to out the spy. An independent solicitor on March 14 served O'Brien with a court order to search his devices. O'Brien said he turned over his laptop but was able to save his phone from inspection. He added that after he contacted Bouaziz, he was advised by Deel's lawyers to destroy his old phone. In late March, O'Brien agreed to cooperate with Rippling's legal team as he became fearful of his safety "given the power and wealth of the individuals involved."
Yahoo
02-04-2025
- Business
- Yahoo
Former Rippling employee admits to spying for rival firm Deel
(Reuters) - A former employee of HR software company Rippling has confessed to spying for Deel Inc under the directive of the rival firm's CEO, an affidavit made public in an Irish court showed on Wednesday. Rippling last month filed a lawsuit against Deel alleging racketeering, misappropriation of trade secrets, tortious interference, unfair competition, as well as aiding and abetting a breach of fiduciary duty. The former employee, Keith O'Brien, said he was recruited by Deel CEO Alex Bouaziz to pass on confidential information about Rippling for about 5,000 euros per month. O'Brien, who was planning to leave Rippling to focus on his consulting business, disclosed that Bouaziz had suggested he remain at his job and become a spy for Deel. "Alex told me he 'had an idea.' ...and I recall him specifically mentioning James Bond," O'Brien said. O'Brien said he was asked to provide information regarding Rippling's ways of doing things, including corporate strategy, customer insights and "other interesting company information". He added he was asked to communicate with Bouaziz's father, Deel CFO Philippe Bouaziz, regarding payments. All communication among the three took place on messaging platform Telegram and was set to automatically delete after 24 hours. "Alex was particularly interested in Rippling's strategies around global payroll and expansion efforts, as well as reviewing specific sales, marketing information, and customer details," O'Brien wrote. However, Rippling eventually became aware of the espionage and set up a trap to out the spy. An independent solicitor on March 14 served O'Brien with a court order to search his devices. O'Brien said he turned over his laptop but was able to save his phone from inspection. He added that after he contacted Bouaziz, he was advised by Deel's lawyers to destroy his old phone. In late March, O'Brien agreed to cooperate with Rippling's legal team as he became fearful of his safety "given the power and wealth of the individuals involved." Sign in to access your portfolio
