Rippling sues Deel over spying

Allegations and Evidence Discussed

• Commenters highlight the complaint’s detail as unusually rich: Slack audit logs, search terms, and timing are seen as strongly suggestive that an internal Rippling employee in Ireland was acting under Deel leadership’s direction.
• Key points raised: use of internal HR data (unlisted phone numbers) seemingly to help a Deel executive contact Rippling staff; Slack searches that line up with a sanctions-related press inquiry; email links between the alleged spy and Deel leadership; and the “honeypot” fake Slack channel (“d-defectors”) that was accessed shortly after only Deel’s senior legal/board recipients were told of its existence.
• The alleged spy’s attempt to evade phone seizure in Ireland (locking himself in a bathroom and possibly trying to destroy his phone) is widely noted as both incriminating and farcical.

Legal and Criminal Framing

• Several comments stress that theft of trade secrets is a serious crime, not “all’s fair in war.”
• The suit is civil under the Defend Trade Secrets Act; some speculate it may lead to criminal Economic Espionage charges, though others caution against over-interpreting a one-sided complaint that has strong incentives to exaggerate.
• There’s mention of alleged Russia sanctions issues around Deel, with debate about whether enforcement appetite differs by US administration.

Workplace Surveillance, Security, and Honeypots

• Many are surprised at how granular Slack enterprise logging is (channel views, searches, document access). Others respond that “enterprise anything” is heavily audited.
• Some predict more “corporate espionage detection” products; others reply this already exists as Data Loss Prevention and that adding more third parties increases risk.
• There’s ambivalence over counterintelligence practices: some argue they create unpleasant, paranoid workplaces; others note honeypots and compartmentalization are longstanding, low-cost techniques.

Corporate Ethics and Competitive Behavior

• A subset of commenters are indifferent or even hostile to corporations complaining about being spied on, given pervasive employee and consumer surveillance.
• Others argue this behavior, if true, crosses a clear line and sets toxic incentives for sales-driven, low-differentiation SaaS businesses.
• Some see Rippling as overly litigious and question motives; others think the honeypot evidence, if accurately presented, goes well beyond “boy who cried wolf.”

YC, Investors, and Ecosystem Questions

• People note both firms are YC companies, prompting questions about YC backing close competitors and its ability to screen founders’ character.
• A long investor list in Deel is shared; another commenter questions its relevance.

Product Experiences and Perceptions of Deel/Rippling

• Multiple users share hands-on experience:
  • Deel is described as widely used for international hiring, often effective but rigid, buggy, and poor at edge cases.
  • Some contractors like Deel’s multi-account, fast transfer features but dislike recent changes such as forced use of a “Deel Wallet” with arbitration-heavy terms.
  • One employer complains Deel used its EOR relationship for direct marketing to employees, eroding trust.
  • Rippling is described as a PEO/HR stack that can give small firms “big company” benefits; some users are satisfied, others neutral.
  • Several call Deel the worst PEO they’ve used; others say both products are “boring but functional,” with limited room for differentiation.

Geopolitics and National-Origin Concerns

• Some comments claim Israeli-linked companies (including Deel) are structurally untrustworthy due to intelligence backgrounds, while others push back, pointing out Deel’s US base and mixed founder backgrounds.
• Further discussion links this to Palestine (e.g., which EORs support hiring there), with strong ethical judgments about provider choices.

Meta: HN Coverage and Cultural Framing

• One user wonders if the story is being quietly moderated off HN’s front page.
• Others compare the saga to spy novels and cyberpunk, leading to a side debate about glamorizing dystopian corporate power versus treating such fiction as a warning.