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Google paid $10M for Spirit Airlines' internal data in bankruptcy auction

Google won a bankruptcy auction for Spirit Airlines' de-identified internal datasets, paying $10 million for emails, chats, code and passenger records.

Google paid $10M for Spirit Airlines' internal data in bankruptcy auction

Google won a bankruptcy auction for de‑identified internal data from Spirit Airlines, paying $10 million for the package. The acquired material reportedly includes about 100 million emails, 500 million Microsoft Teams chats, billions of passenger and pricing records, 30 million lines of source code, and roughly 175,000 employee records.

What happened and when

Spirit Airlines ceased operations in May, leaving approximately $8.1 billion of debt and laying off 17,000 employees. Separately, the carrier's LaGuardia slots were sold for $58.5 million. A court sale hearing for the data transaction is scheduled for August 19.

The auction and bidders

Google's $10 million bid prevailed in the bankruptcy auction. According to the reporting, other bidders participated earlier in the process: Mercor raised its offer from $5 million to $7.5 million before Google advanced the price to the final figure.

Market context

Forbes has reported that defunct startups have been selling Slack, Jira and email archives to buyers in the AI sector. SimpleClosure, a shutdown service, handled nearly 100 such transactions, typically in the $10,000–$100,000 range. Observers see the Spirit deal as an escalation: the first time a Big Tech firm has entered bankruptcy court and paid $10 million for a dead company’s internal memory.

Why it matters

The transaction highlights a shift in what counts as liquidatable corporate assets in the age of AI. Internal communications archives, customer and pricing records, and source code are now being treated as saleable assets whose buyers are often AI labs and technology companies. Google says it will use the purchased data to improve its products and AI models.

Next steps

The sale is subject to a court hearing on August 19, which will determine the legal terms and any restrictions on use. The Spirit case signals that corporate memory can be monetized in bankruptcy, and it may encourage further sales of internal datasets in other insolvency proceedings.