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OpenAI Negotiates $3 Billion Acquisition of AI Coding Startup Windsurf

The deal, which would be OpenAI’s largest to date, remains under negotiation and could still fall through.

Sam Altman, chief executive officer of OpenAI Inc., in Paris on Feb. 11, 2025.
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Overview

  • OpenAI is in advanced talks to acquire Windsurf, formerly known as Codeium, for approximately $3 billion, according to reports from Bloomberg and CNBC.
  • If finalized, this would mark OpenAI's largest acquisition, as it seeks to expand its presence in the competitive AI coding tools market.
  • Windsurf competes with Cursor, Replit, and Microsoft’s AI-powered coding features, as developers increasingly adopt tools for rapid AI-driven code generation, a trend dubbed 'vibe coding.'
  • The acquisition aligns with OpenAI's aggressive expansion strategy, backed by its recent $40 billion funding round that valued the company at $300 billion.
  • Negotiations are ongoing, with no finalized terms, and the deal could still change or fall apart, according to sources familiar with the matter.