OAuth is a common way that websites do authentication. Google OAuth is a identity provider that websites can use to not handle usernames, passwords and such.
When you click the Sign in with Google button, Google sends the application a set of cryptographically information about the user in a JWT. Of these fields, is the hd (hosted domain) and email. The application would verify both of these claims to be correct before logging in.
Here's an interesting question: what happens when the domain is owned by somebody different? Apparently, there is no verification on then. The sub field could be used for this but it's inherently unreliable on Google OAuth for some reason.
By purchasing the domain of an old startup, it's possible to login to these other accounts. You can't see old emails in Google workspace but you can access accounts from previous employees.
Initially, Google decided to not fix the issue. They categorized this as an abuse issue. After the talk got accepted to ShmooCon, they decided to pay $1,337 for the bug. They rated this as low likelihood and high impact, which I think is a fair assessment. They claimed they are working on a fix but nothing has been shared yet.
The author brings up a good point about password resets. If an attacker controls the email then they could reset the password on an account as well. Unless the only 2FA is on the email, this will not work because of things like Google Authenicator and SMS 2FA.
To me, they try to hype up the numbers a little much. They claim millions of accounts but are making assumptions about A) the amount of startups that use Google workspaces, B) each has 10 employee, and C) each has 10 accounts. Although it's technically correct, it feels overhyped. Alongside this, who cares about data of old startups? Not many people. Regardless, it was a cool bug and I appreciated the write up.