RSUs happened IMO because Warren Buffett didn't understand tech. But they're fine, really, the same competitive pressures that led to compelling ISOs now lead to compelling RSUs. Not sure what problem that solved though but give me a couple beers and I'll probably come up with one.
I'm saying it's a step in the right direction. No more starting at zero or even being "under water" like with ISO's. With RSU's they just grant you the stock like they used to only do for execs (with nonqualified options or whatever). As long as the company doesn't get delisted or something you're a stakeholder.
https://www.nytimes.com/2002/03/11/business/stock-options-ar...