if they are selling the product, yes, you're right. But if it's a true acquihire (which I was assuming..) and they are going to shut down the product and dump t

if they are selling the product, yes, you're right. But if it's a true acquihire (which I was assuming..) and they are going to shut down the product and dump the IP, then it's basically just a really expensive hire no? In all the ones I've seen the real reason is (1) companies are willing to overpay and don't care who the $$ goes to and (2) founders really want to do right by their VCs. But I've also seen plenty of times where the founders can just tell the investors: "look, it's either we shut down or I take this job, but you get nothing - but if we call it a deal, we all look good, cool?" and the investors capitulate.