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What is an acquihire?

An acquihire, a portmanteau of "acquisition" and "hire", is a strategy where a company is acquired mainly for the skills and expertise of its staff, rather than its products or services. It's often seen in the tech startup industry.

In an acquihire, the acquiring company is primarily interested in the team running the target company because of their skills, experience, or strategic value. The target company's product or service might be discarded after the acquisition. This strategy is often used when there's a shortage of talent, and it's faster or more cost-effective to acquire a company with a skilled team than to recruit new employees individually.

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