Shutting down

Sell your startup's codebase to AI labs: prices, buyers and checks (2026)

Updated 5 min read

In 2026, a private startup codebase has typically licensed or sold to AI buyers for about $10,000 to $100,000. Fortune reported in September 2026 that Turing's CEO told The Information it paid an average in the tens of thousands of dollars for each of five to ten failed-startup codebases. A winding-down crypto startup netted about $25,000 for its code (MIT Technology Review, October 2026), and code sold with its tickets, chat and docs can bring more.

On this page
  1. What do AI buyers pay for a codebase?
  2. Who buys startup codebases?
  3. What makes a codebase valuable to AI labs?
  4. How do I remove secrets from a codebase?
  5. What IP and licensing checks should I do?
  6. Should I sell outright or license?
  7. How do I start?
  8. Questions
  9. Sources

What do AI buyers pay for a codebase?

ExampleAmountKind of figureSource
A qualifying private codebaseUp to $10,000, paid in 7 to 14 daysPost by a writer who works with HUDDEV Community, June 2026
Five to ten failed-startup codebasesTens of thousands of dollars each on averageBuyer's CEOTuring's CEO to The Information, via Fortune, September 2026
A repository of 50,000+ human-written lines$10,000 to $100,000+Buyer's published rangeTuring process page, October 2026
A crypto startup's codebaseAbout $25,000Press report of a closed dealMIT Technology Review, October 2026
One company's 326 repositories$300,000Broker claim, its largest deal to datePangea, October 2026
A web app, estimated at published rates$717 for the code, $5,665 for its commit historyCalculator estimateaitrainer.work using Pangea rates, October 2026

Two patterns stand out. First, history can pay more than code: in the calculator example, the commit history was worth almost eight times the code. Second, the biggest numbers come when code is sold with the rest of a company's record.

The Spirit Airlines archive included 516 repositories, about 30 million lines of code, 372,585 commits and 43,170 pull requests alongside email and chat (The Next Web, August 2026). Google won the August 2026 bankruptcy auction for that archive with a $10 million bid, but the court hearing on the sale was moved to November 6, 2026, so it is not final (TravelPulse, October 2026). Separately, a startup that had just agreed to be acquired received four offers of up to $300,000 for its codebase and employee communications together, and turned them all down (The Information via fnnews, August 2026).

Who buys startup codebases?

Sorted by name. Data Licensors, the company that publishes this page, also licenses company records, including code.

BuyerHow they buy code
aitrainer.workPoints owners to code buyers and runs a value calculator; does not buy code itself
Data LicensorsCode as part of a company's records, with secrets removed
DataVendorHUD's marketplace; sellers set prices, and a 20% platform fee applies when earnings are withdrawn (DataVendor, October 2026)
LabelboxOne-time purchase of fully defunct startup codebases; its Prism program also seeks IDE session logs and edit traces
MercorBid $7.5 million for the Spirit archive, which included code, and offered to buy or license a just-acquired startup's code (The Information via AI Weekly, August 2026)
SimpleClosureShutdown service with a marketplace for code and workspace data
TuringBuys codebases on their own (50,000+ lines) and as part of a full operating record

Pangea, a code licensing marketplace, publishes rates of roughly $100 per million tokens of source code and $40 per million tokens of git history (Pangea, October 2026).

What makes a codebase valuable to AI labs?

Labs use real codebases to train and test AI coding agents. Labelbox says what matters is that the system reflects real-world development, with the complexity that comes from building and operating a product with a team (Labelbox, January 2026). In practice buyers look for:

  • Private, never public. Anyone can already read public code, so labs pay only for code that was never published (aitrainer.work, October 2026).
  • Several contributors, real history. HUD's criteria name multiple contributors and many commits over months or years (DEV Community, June 2026).
  • Human-written. Turing does not accept code written by an AI model or pull requests not written by a person, per aitrainer.work (October 2026).
  • Unique code, not bulk. Across the codebases SimpleClosure analyzed, about 37% of raw code disappeared once third-party, generated and duplicate code was removed (SimpleClosure, September 2026).
  • Less common languages. Roughly half the code SimpleClosure has analyzed is TypeScript or JavaScript, which it says may make less common languages more interesting.
  • Exclusivity. Business Insider (October 2026) reported lower demand for a codebase a rival lab already has.

How do I remove secrets from a codebase?

Assume every secret ever committed is still in the history, even if it was deleted later. Before sharing a sample:

  1. Rotate everything. Revoke and reissue every API key, database password, cloud credential, signing key and webhook secret. A rotated key is harmless even if missed.
  2. Scan the full history, not just the latest version, with a secret scanner. Check config files, test fixtures, CI files, notebooks and infrastructure files.
  3. Remove customer data from fixtures, seed files, logs and database dumps.
  4. Remove personal details from commit messages and comments where needed, such as personal emails or phone numbers.
  5. Have the buyer scan again. A second pass catches what the first missed. Data Licensors removes passwords, keys, tokens and other secrets, including in code, before anything leaves its hands (Data Licensors, October 2026).

What IP and licensing checks should I do?

The buyer will ask you to promise you own what you are licensing. This is general information, not legal advice; a lawyer can confirm ownership for your company. Check first:

  • Assignments. Every employee and contractor should have signed an IP assignment. Code a contractor wrote without one may not be the company's.
  • Customer ownership. Custom work built under a services contract may belong to the customer. Read your master service agreements.
  • Open-source components. List the third-party and open-source code inside. Licenses such as the GPL carry conditions, and vendored libraries are not yours to license. Most buyers want only your own code anyway.
  • Acquisitions and acqui-hires. If an acquirer took the IP, the code may not be yours to sell.
  • Who signs. For a closed company, the board, a liquidator, an assignee or a trustee may need to approve. Co-founders and investors may also have a say (aitrainer.work, October 2026).

Our legal guide covers ownership in more detail.

Should I sell outright or license?

A sale is one payment, and the buyer may take broad rights. Labelbox describes its defunct-codebase deals as one-time, with no maintenance or support burden and no public attribution. A non-exclusive license lets you keep ownership and license the same repository to more than one buyer: the HUD post calls its deals "a license, not a sale," and the aitrainer.work calculator notes the same repo can earn again from each lab that licenses it.

If the company is closing anyway, a clean one-time sale is simpler. If you will keep the code, or might restart the product, license it and keep ownership. Either way, read the deletion and use terms in our licensing agreement guide.

How do I start?

  1. List repositories, languages, years active, contributor count and commit count.
  2. Rotate credentials and run a secrets scan.
  3. Confirm ownership and list open-source components.
  4. Keep the GitHub or GitLab organization paid and active until a buyer has sampled.
  5. Ask more than one buyer to price the same repositories, with and without the related tickets, chat and docs.

If the whole company is closing, read selling startup data before shutdown too, or compare reported prices in the deal ledger.

Questions owners ask

Plain answers

How much can I get for my startup's codebase?

Reported prices for one private codebase mostly run from about $10,000 to $100,000. Turing's CEO told The Information it paid tens of thousands of dollars on average per failed-startup codebase (Fortune, September 2026), while a writer who works with HUD said labs pay up to $10,000 for a qualifying codebase on its platform (June 2026). Code sold with its tickets, chat and docs can bring more.

What kind of code do AI labs buy?

Private, human-written production code built by several people over months or years, with commit history, pull requests, issues, tests and docs. Public code generally does not sell, and Turing does not accept code written by an AI model.

Do I sell the code or license it?

Both exist. Labelbox's program for defunct startups is a one-time transaction, while HUD and Pangea license code non-exclusively, so the same repository can earn from more than one buyer.

What do I need to check before selling code?

That the company owns all of it (signed IP assignments from every employee and contractor), that no customer owns part of it, which open-source and third-party code is inside, and that every secret is removed and every credential rotated. A lawyer can confirm ownership for your situation.

Sources

Numbers in this guide are cited inline by publisher and date.

  1. How the Acquisition Process WorksTuring · Publish date not shown · Accessed 29 Oct 2026
  2. Would you license your old/dead codebase as AI training data for $10k?DEV Community (post by a writer who works with HUD) · Published 5 Jun 2026
  3. Little-known AI startup Micro1 tries to trump Google's bid for bankrupt Spirit Airlines' dataFortune · Published 14 Sep 2026
  4. Fees and limitsDataVendor · Publish date not shown · Accessed 29 Oct 2026
  5. Spirit Airlines Google $10 Million Data Sale Delayed as Lawmakers Raise ConcernsTravelPulse · Published 10 Oct 2026
  6. Turing Project Lazarus: What It Buys, Pays and Who Qualifiesaitrainer.work · Publish date not shown · Accessed 28 Oct 2026
  7. AI labs are buying data from dead startups to train their modelsMIT Technology Review · Published 13 Oct 2026
  8. Referral Partner Program for Code LicensingPangea · Publish date not shown · Accessed 28 Oct 2026
  9. How Much Is Your Codebase Worth to AI Labs?aitrainer.work · Publish date not shown · Accessed 28 Oct 2026
  10. Sell a Closed Startup's Slack, Email and Code to AI Labsaitrainer.work · Publish date not shown · Accessed 28 Oct 2026
  11. What Your Assets Are WorthSimpleClosure · Published 3 Sep 2026
  12. From dormant codebases to lasting valueLabelbox · Published 20 Jan 2026
  13. Google picked and paid for the firm anonymising the Spirit Airlines dataThe Next Web · Published 18 Aug 2026
  14. Is My Messenger Chat Training AI? U.S. Sees Surge in Corporate Data TradingThe Financial News (fnnews) · Published 14 Aug 2026
  15. AI labs are fueling a wild market for your emails and Slack DMsBusiness Insider · Published 13 Oct 2026
  16. Prism: Real-world data for advancing frontier AILabelbox · Publish date not shown · Accessed 28 Oct 2026
  17. How we handle your recordsData Licensors · Published Oct 2026
  18. Mercor chases shuttered startups' Slack and Jira archivesAI Weekly · Published 15 Aug 2026

Buyers in this guide

Each profile has prices, payment terms and sources. Every player is in the buyer index.

Written by Data Licensors, which also licenses company records. Prices and terms are from the sources above, as of 29 Oct 2026. See every buyer in the buyer index.

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