It’s not a catastrophic signing b/c they do have space and Hill is still good, but it almost certainly will cause problems for them at some point over the life of the contract b/c Fox will need to play and Hill will want to play. It’s a self-inflicted wound they didn’t need.
Also, Sacto still has their own ’18 1st round pick. Having a pg like George will help them win games. They need another high pick and the ’18 pick will be their last until ’20 since they’re almost certainly going to send the ’19 to philly or boston.