OpenAI's planned acquisition of Windsurf, a coding AI software startup, for $3 billion did not materialize. Google stepped in to hire Windsurf's CEO and cofounders, while also licensing its technology for approximately $2.4 billion. Another startup, Cognition, purchased the remaining assets of Windsurf. The collapse of OpenAI's acquisition was due to disagreements with Microsoft regarding access to Windsurf's technology. Despite ongoing debates about generative AI's return on investment, coding assistance remains a widely acknowledged valuable application.
The big news at the end of last week was that OpenAI's plans to acquire Windsurf, a startup that was making AI software for coding, for $3 billion fell apart.
Google announced that it was hiring Windsurf's CEO Varun Mohan and cofounder Douglas Chen and a clutch of other Windsurf staffers, while also licensing Windsurf's tech.
The increasingly fraught relationship between OpenAI and Microsoft is worth a whole separate story.
While a lot of people debate the return on investment from generative AI, the one thing seemingly everyone can agree on is that coding is the one clear killer use case for genAI.
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