OpenAI deal for Windsurf falls apart
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OpenAI’s $3B bid to acquire Windsurf collapsed after talks stalled, clearing the path for Google to license its AI coding tools and hire key team members.
Questions swirled about Windsurf's future after Google's surprise deal. Now, Windsurf will have a new owner.
In a $2.4 billion deal, Google recruited the chief executive and a co-founder of Windsurf, which OpenAI had been in talks to buy, as the battle to dominate artificial intelligence escalates.
Cognition acquires AI coding startup Windsurf, gaining its IP, talent, and user base, strengthening its position to compete with OpenAI, Cursor, and Anthropic.
It's been a wild ride for vibe-coding platform Windsurf. Google poached its founder and top talent, and now it's being bought by Cognition.
The move is the culmination of a turbulent period for Windsurf, and indicates that agentic IDEs have become a new battleground.
OpenAI is the world's leading AI startup. For how long will depend on how well it fends off multi-front attacks from competitors like Meta and Google.