What I do agree with, is that any careful corporate lawyer would have a good look at this license and check whether there are any courts that have ever looked at this license to see how battle tested it is. Speaking as a lawyer, what I would see as an edge case that might be problematic is if a competitor of Outline that uses its completely self-built tech stack to provide a competing service as outlined in that clause would use Outline internally as a knowledge base. But I mean that‘d be absurd.
// addendum Personally, I think it would be cool if Outline at some point removed that clause, once it has built sufficient moat around its commodity services.