Strengthening its position in the rapidly evolving enterprise software market, artificial intelligence startup Cognition AI has agreed to acquire Windsurf, an integrated development environment platform. The deal comes in the wake of Google’s $2.4 billion deal with Windsurf last week aimed at acquiring top talent and securing licensing rights to its technology.
The move aligns with a wider trend among tech giants like Alphabet and Meta, who are pursuing high-stakes acquisitions and offering competitive compensation to attract top-tier industry talent.
Cognition said on Monday that it will purchase Windsurf’s intellectual property, product, trademark, brand and talent, but didn’t disclose terms of the deal.
Earlier, OpenAI had been in talks to acquire Windsurf for about $3 billion in April, but the deal fell apart.
Google said on Friday that it hired Windsurf’s co-founder and CEO Varun Mohan. Google is paying $2.4 billion in licensing fees and for compensation, as was reported earlier.
“Every new employee of Cognition will be treated the same way as existing employees: with transparency, fairness, and deep respect for their abilities and value,” Cognition CEO Scott Wu wrote in a memo to employees on Monday. “After today, our efforts will be as a united and aligned team. There’s only one boat and we’re all in it together.”
Cognition is known for its AI coding agent named Devin, which is designed to help engineers build software faster. As of March, the startup had raised hundreds of millions of dollars at a valuation of close to $4 billion.
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