[dragonwriter]

> As someone not well versed in how startups work, why do they need to acquire the entire company to have the team work for them, as opposed to negotiating with the employees individually?

Because otherwise, the team would have the option of continuing their current employment.

Take away the alternative they are demonstrably already choosing over you, and you have a better chance of getting and keeping them.

[proser]

It also usually triggers a liquidity event, so the team gets paid (or their equity gets transferred to OpenAI) in a way that provides a bit of a bonus and incentive to stick around.