AI startup Windsurf, which OpenAI was targeting for acquisition, signs $3.5 billion deal with Google, with CEO, co-founder and R&D team members moving to Google DeepMind
OpenAI, a major AI company that develops ChatGPT and other services, had been in talks to acquire Windsurf, an AI startup that develops the AI code editor Windsurf Editor. However, the acquisition deal fell through, and Windsurf announced that it had signed a $2.4 billion (approximately 350 billion yen) deal with Google. As part of the deal, it was also announced that Windsurf CEO Varun Mohan, co-founder Douglas Chen, and some members of the research and development team would transfer to Google DeepMind, Google's AI research and development organization.
Google hires Windsurf CEO Varun Mohan in latest AI talent deal
OpenAI's Windsurf deal is off — and Windsurf's CEO is going to Google | The Verge
https://www.theverge.com/openai/705999/google-windsurf-ceo-openai
On July 11, 2025 local time, Windsurf published a blog titled 'The Next Stage of Windsurf' and announced that it had signed a new contract with Google. As part of the agreement, some members, including CEO Mohan, will transfer to Google DeepMind, but Windsurf explained that 'Most of Windsurf's world-class team will continue to focus on building Windsurf products for the enterprise and helping customers maximize the benefits of adopting this technology.' In addition, with the transfer of CEO Mohan, Jeff Wang, head of business operations, will become Windsurf's interim CEO, and Graham Moreno, vice president of international sales, will become the new president.
The Next Stage of Windsurf
https://windsurf.com/blog/windsurfs-next-stage
Regarding the deal, technology media The Verge reports that 'Google will not own any control or equity in Windsurf, but will receive a non-exclusive license to some of Windsurf's technology.' 'Mohan and other former Windsurf employees will focus on agent coding efforts at Google DeepMind, primarily working on the development of Gemini.'
According to a CNBC report, Google will pay Windsurf $2.4 billion in licensing fees and a guarantee to lure employees to acquire the company's technology.
A Google spokesperson told CNBC, 'We're excited to welcome Windsurf's talented AI coding talent to Google DeepMind and further our agent coding efforts. We're excited to continue bringing the benefits of Gemini to software developers around the world.'
The AI industry is in a competitive battle for talent, with Meta investing $14.8 billion in data labeling service Scale AI, appointing the company's CEO Alexander Wang to head its new Superintelligence Lab , and poaching talent from Apple and OpenAI .
Meta's Mark Zuckerberg is planning to poach the best AI engineers and researchers based on 'The List' - GIGAZINE
Continued
AI-related startup Windsurf acquired by AI engineering company Cognition, founders poached by Google DeepMind - GIGAZINE
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in Software, Posted by logu_ii