Overview

• The acquisition covers Windsurf’s intellectual property, its AI-powered IDE, brand and the team not hired by Google in a prior reverse-acquihire.
• Windsurf logged $82 million in annual recurring revenue by Q2, serving more than 350 enterprise clients and hundreds of thousands of daily users before the deal.
• Unhired staff will receive accelerated vesting and share fully in the transaction’s financial upside, addressing concerns from a recent licensing agreement that excluded some employees.
• Days earlier, Google executed a $2.4 billion reverse-acquihire of CEO Varun Mohan, co-founder Douglas Chen and other research leaders after OpenAI’s $3 billion bid lapsed.
• Cognition intends to maintain Windsurf’s operations independently in the near term before embedding its IDE tools into the Devin agent to bolster its coding platform.