Google hires Windsurf CEO Varun Mohan, others in $2.4 billion AI talent deal

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Chief enforcement serviceman of Google Sundar Pichai.

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Google connected Friday made the latest a splash successful the AI endowment wars, announcing an statement to bring successful Varun Mohan, co-founder and CEO of artificial quality coding startup Windsurf.

As portion of the deal, Google volition besides prosecute different elder Windsurf probe and improvement employees. Google is not investing successful Windsurf, but the hunt elephantine volition instrumentality a nonexclusive licence to definite Windsurf technology, according to a idiosyncratic acquainted with the matter. Windsurf remains escaped to licence its exertion to others.

The idiosyncratic acquainted with the woody says Google is paying $2.4 cardinal successful licensing fees and for compensation.

"We're excited to invited immoderate apical AI coding endowment from Windsurf's squad to Google DeepMind to beforehand our enactment successful agentic coding," a Google spokesperson wrote successful an email. "We're excited to proceed bringing the benefits of Gemini to bundle developers everywhere."

The woody betwixt Google and Windsurf comes aft the AI coding startup had been successful talks with OpenAI for a $3 cardinal acquisition deal, CNBC reported successful April. OpenAI and Windsurf had entered into exclusivity successful bid to finalize an acquisition, but the play has expired, an OpenAI spokesperson said.

The determination ratchets up the endowment warfare successful AI peculiarly among salient companies. Meta has made lucrative occupation offers to respective employees astatine OpenAI successful caller weeks. Most notably, the Facebook genitor added Scale AI laminitis Alexandr Wang to pb its AI strategy arsenic portion of a $14.3 cardinal concern into his startup. 

Douglas Chen, different Windsurf co-founder, volition beryllium among those joining Google successful the deal, Jeff Wang, the startup's caller interim CEO and its caput of concern for the past 2 years, wrote successful a post connected X.

"Most of Windsurf's world-class squad volition proceed to physique the Windsurf merchandise with the extremity of maximizing its interaction successful the enterprise," Wang wrote.

Windsurf has go much fashionable this twelvemonth arsenic an enactment for alleged vibe coding, which is the process of utilizing caller property AI tools to constitute code. Developers and non-developers person embraced the concept, starring to much gross for Windsurf and competitors, specified arsenic Cursor, which OpenAI besides looked astatine buying. All the involvement has led investors to delegate higher valuations to the startups.

This isn't the archetypal clip Google has hired prime radical retired of a startup. It did the same with Character.AI past summer. Amazon and Microsoft person besides absorbed AI endowment successful this fashion, with the Adept and Inflection deals, respectively.

Microsoft is pushing an cause mode successful its Visual Studio Code exertion for vibe coding. In April, Microsoft CEO Satya Nadella said AI is composing arsenic overmuch of 30% of his company's code.

The Verge reported the Google-Windsurf woody earlier connected Friday.

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