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# MCP startup Runlayer accuses Rippling of stealing its product idea

**[TechCrunch](https://daily.dev/sources/tc)** · 3 min read · 0 upvotes · 0 comments

## Summary

Runlayer, an MCP gateway startup backed by Khosla Ventures and Felicis with $42M raised, has filed a lawsuit against HR software company Rippling, alleging trade secret misappropriation and breach of contract. Runlayer claims Rippling conducted a nearly year-long product trial — gaining access to source code and roadmaps under NDA — then built an internal clone after price negotiations failed. Rippling denies the allegations and says its product is built entirely from proprietary information. The case highlights the risks AI infrastructure startups face when selling to enterprise tech companies that have the engineering capacity to build competing products themselves.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://techcrunch.com/2026/07/28/mcp-startup-runlayer-accuses-rippling-of-stealing-its-product-idea>

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