Google has reportedly reached a licensing agreement with AI programming startup Windsurf, ending OpenAI's original plan to acquire the company for $3 billion. The exclusivity period for the potential acquisition recently expired, so Windsurf chose to work with Google instead.
Windsurf is a highly-watched startup that focuses on developing automated coding and software collaboration tools and is seen as a key force in driving innovation in the field of "AI writing code." OpenAI previously proposed to acquire Windsurf at a valuation of up to $3 billion in May and signed an exclusive negotiation agreement, but failed to complete the transaction within the deadline.
An OpenAI spokesperson confirmed: "The exclusive acquisition agreement reached with Windsurf in May has expired, and Windsurf has since chosen other development paths." Sources said that Google then finalized a content and technology licensing agreement with the company.
The change is a clear setback for OpenAI, which is facing fierce competition for talent and technology from Meta, Anthropic and other AI startups. In the field of automated programming and code generation, the competition for resources is particularly fierce.
Although OpenAI's ChatGPT is still strong in the consumer AI market, Windsurf's shift reflects that leading companies are competing for the layout dominance of key vertical scenarios in addition to basic AI capabilities. For Google, this transaction not only brings strategic technical resources, but may also further consolidate its AI strength in developer tools and enterprise services.