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In other words, they didn't actually give away their "secret sauce" by answering the VPs questions. What they did do was convince the VP that the product would be easy to build in-house. Ironically, that was actually false as Novell failed in building it.
Since when is it ok to say "rape" instead of "theft"?!
Presumably this is getting flagged because of the title, which is a reference to a scene in the show "silicon valley". The article documents a real-world example of what is essentially, a mild form of corporate espionage. It's a risk entrepreneurs should be aware of.