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OpenAI Advances Talks to Acquire AI Coding Startup Windsurf for $3 Billion

The acquisition, which would be OpenAI's largest to date, underscores its strategy to lead in the competitive generative AI market.

Sam Altman, chief executive officer of OpenAI Inc., in Paris on Feb. 11, 2025.
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ANKARA, TURKIYE - APRIL 03: In this photo illustration the logos of Open AI are being displayed on both computer and smart phone screen in Ankara, Turkiye on April 03, 2025. (Photo by Betul Abali/Anadolu via Getty Images)
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Overview

  • OpenAI is negotiating a $3 billion deal to acquire Windsurf, an AI coding tool formerly known as Codeium.
  • If finalized, this would mark OpenAI's largest acquisition, signaling a significant investment in AI-driven coding technology.
  • Windsurf competes with other AI coding tools like Cursor and features from Microsoft, Anthropic, and OpenAI itself.
  • The move follows OpenAI's record $40 billion funding round and the release of new AI models capable of analyzing user sketches and diagrams.
  • The acquisition is part of OpenAI's push to maintain its edge in the rapidly evolving generative AI space, where competitors like Google, Anthropic, and xAI are also innovating aggressively.