Tech talent wooed with huge pay packages — just like NBA stars

Over the summer, Mr. Matt Deitke got a phone call from Mr. Mark Zuckerberg, Meta's chief executive.

- Mike Isaac, Eli Tan, Cade Metz

SAN FRANCISCO — Over the summer, Mr. Matt Deitke got a phone call from Mr. Mark Zuckerberg, Meta's chief executive.

Mr. Zuckerberg wanted Mr. Deitke, a 24-year-old artificial intelligence (AI) researcher who had recently helped found a start-up, to join Meta's research effort dedicated to "superintelligence" — a technology that could hypothetically exceed the human brain.

The company promised him around US$125 million (S$162 million) in stock and cash over four years. The offer was not enough to lure Mr. Deitke, who wanted to stick with his start-up, two people with knowledge of the talks said. He turned Mr. Zuckerberg down.

So Mr. Zuckerberg personally met Mr. Deitke. Then Meta returned with a revised offer of around US$250 million over four years, with potentially up to US$100 million of that to be paid in the first year, the people said.

The compensation jump was so startling that Mr. Deitke asked his peers what to do. After discussions, some urged him to take the deal — which he did.

Silicon Valley's AI talent wars have become so frenzied — and so outlandish — that they increasingly resemble the stratospheric market for National Basketball Association (NBA) stars.

Young AI researchers are being recruited as if they are Steph Curry or LeBron James, with nine-figure compensation deals structured to be paid out over several years. To navigate the froth, many of the 20-somethings have turned to unofficial agents and entourages to strategize, much as basketball players shop for the best deals from teams.

The difference is that, unlike NBA teams, deep-pocketed AI companies like Meta, OpenAI, and Google have no salary caps, making the battles for AI talent wilder. American professional basketballer Curry's most recent four-year contract with the Golden State Warriors was US$35 million less than Mr. Deitke's deal with Meta.

Over the past few weeks, recruiting AI free agents has become a spectacle on social media.