# Selling data from a closed or closing company

URL: https://aidataforsale.com/learn/selling-data-from-a-closed-company
Publisher: AI Data For Sale (Marketing Signals Ltd)
Updated: 2026-11-10

How shut-down and winding-down companies license email, chat, code and documents to AI buyers, who controls the sale, and what has to be excluded.

Author: Gareth Hoyle
Audience: Data holders

## In short

- AI labs and data vendors are buying workspace data and code from companies that have shut down.
- SimpleClosure said 47% of its wind-down deals now include code or data sales, according to MIT Technology Review in October 2026.
- Whoever controls the company's assets in the wind-down, such as a trustee or assignee, normally runs the sale.
- Proceeds usually go to creditors and investors first, and employee privacy objections are a real risk.

## A new asset for wind-downs

MIT Technology Review reported in October 2026 that AI labs are buying data from dead startups, with SimpleClosure handling more than 150 deals and expecting to return more than $10 million to startups by the end of 2026, and 47% of its deals including code or data ([MIT Technology Review](https://technologyreview.com/2026/10/13/1145755/ai-labs-buying-data-from-dead-startups-to-train-models)). Shutdowns were reported to be rising 26% to 56% a year, based on Carta and AngelList estimates.

## What sells

- Source code with history
- Email, Slack and Teams archives
- Documents and workspace data (Google Workspace, Notion, Figma, calendars)
- Support tickets and CRM activity

## Who runs the sale

In a formal process (bankruptcy, assignment for the benefit of creditors, administration), the trustee, assignee or administrator controls assets and runs the sale, often with court oversight, as in the Spirit Airlines auction ([TravelPulse](https://www.travelpulse.com/news/airlines-airports/google-buys-spirit-airlines-data-for-10-million)). In an informal wind-down, the board and remaining officers decide, subject to creditor and investor rights.

## Risks specific to closed companies

- **Employee privacy.** Spirit's flight attendants' union objected on privacy grounds ([MIT Technology Review](https://technologyreview.com/2026/10/13/1145755/ai-labs-buying-data-from-dead-startups-to-train-models)). Former staff may object to their messages being sold.
- **Customer promises.** Privacy notices still apply after closure.
- **Lost context.** Fewer people remain who know what the data contains, which makes exclusions harder.
- **Records retention.** Some records must be kept for legal reasons regardless of sale.

## How to approach it

Inventory early, before accounts are shut off. Agree exclusions (HR, health, privileged, client confidential). De-identify. Run a short, competitive process with vetted buyers. Document everything for creditors.

## Questions

### Can founders sell data after the company closes?

Only if they control the assets. Once a trustee or assignee is appointed, they run the sale.

### Do employees get paid from data sales?

Usually not. MIT Technology Review reported that proceeds typically go to senior creditors and investors.

## Sources

- [MIT Technology Review: AI labs are buying data from dead startups to train models (October 2026)](https://technologyreview.com/2026/10/13/1145755/ai-labs-buying-data-from-dead-startups-to-train-models)
- [TravelPulse: Google buys Spirit Airlines' data for $10 million (August 2026)](https://www.travelpulse.com/news/airlines-airports/google-buys-spirit-airlines-data-for-10-million)