GitLab Shareholder Drops Suit Against Executives Over AI Demand

GitLab Inc. leadership and a stockholder agreed to abandon a lawsuit alleging executives and board members caused the software platform to overhype its artificial intelligence capabilities and demand before releasing disappointing financial projections.

After the investor in a related proposed class action agreed to drop their claims, the top brass asked and shareholder Eduardo Preciado consented to let go of his derivative lawsuit, they told the US District Court for the Northern District of California Thursday. The derivative lawsuit’s “dismissal is without prejudice to the ability of any GitLab shareholder, or GitLab itself, to pursue the claims,” according to ...