Leer en español: Un fundador acusó a su asesor de espiar. Su propio inversionista respondió

On 30 September, a public fight broke out on X between two AI coding startups and one of the best-known venture firms in Silicon Valley, as TechCrunch reported.

What happened

Matan Grinberg, CEO of Factory, accused Chris Degnan, an adviser to Factory’s board, of talking to its biggest competitor, Cognition, while still attending Factory’s board meetings. Degnan, Snowflake’s first sales hire and its revenue chief for 11 years, had just joined Cognition as chief revenue officer. Grinberg wrote that “he was confiding with executives of our largest competitor” (TechCrunch).

Degnan denied it. He said he resigned, told Grinberg he was joining Cognition, and never shared confidential information. Cognition’s CEO Scott Wu said the company has “no interest in Factory’s info.”

Why it blew up

Khosla Ventures is an investor in both companies. Factory raised $200 million at a $5 billion valuation in September 2026 with Khosla among its backers; Khosla has also backed Cognition since at least early 2025. Then the firm’s own partners took different sides in public. Vinod Khosla called Factory “a struggling second tier competitor.” His partner Keith Rabois took the opposite view, writing that it is “unethical per se to even interview at a competitor while attending Board meetings.”

Neither side has published proof. Grinberg said he had email receipts but did not share them. These are allegations; no wrongdoing has been proven.

What founders should take from it

Your board, advisers and investors see your plans, numbers and hiring before anyone else. Before you accept money or a board seat, ask three questions: Does this investor back a competitor? What information does each person get, and what does the agreement say about confidentiality? What happens when someone leaves for a rival? It is far easier to write those rules on day one than to fight about them on X. See our guide to your first board meeting.

Sources

• TechCrunch, “Factory CEO just accused his VC board adviser of spying for Cognition” by Julie Bort, 30 Sep 2026: techcrunch.com. Quotes are from the posts on X as reported by TechCrunch.

Written by Fabian Cisneros. Educational only — not investment, legal or tax advice. See the full disclaimer.