Ozy Media sues Semafor, founder Ben Smith for allegedly stealing trade secrets (updated)

BuzzFeed

21/12/2023 16:54

(Adds effort to reach Smith and Semafor in paragraph 3, details
from complaint in paragraphs 4-5, context in paragraph 6)
       NEW YORK, Dec 21 (Reuters) - Ozy Media on Thursday sued
startup news outlet Semafor and its founder Ben Smith for
allegedly stealing trade secrets from the U.S. media and
entertainment company, court records released on Thursday
showed.
    Ozy and its CEO Carlos Watson were themselves criminally
charged earlier this year for scheming to defraud investors of
tens of millions of dollars by misrepresenting the company's
debts, financial performance and audience size. Both pleaded not
guilty.
    Neither Smith nor Semafor's communications team immediately
responded to requests for comment. 
        Ozy's complaint alleged that Smith gained an inside view
into the company's operations when Buzzfeed, the digital media
outlet he once led, considered acquiring Ozy in 2019. 
  
        "Semafor was a spitting image of the media company that
Carlos Watson had formed a decade earlier: OZY," the complaint
read.
  
        Buzzfeed, which 
    shuttered its news unit
     in April, is also named as a defendant. Smith 
    launched Semafor
     in October 2022. 
  

 (Reporting by Luc Cohen in New York; Editing by Richard Chang)
 ((luc.cohen@thomsonreuters.com; +1 646 361 1622; Reuters
Messaging: Twitter: @cohenluc))