OpenAI Agrees to Acquire AI Coding Startup Windsurf in Multi-Billion Dollar Deal

OpenAI has reportedly agreed to acquire AI-assisted coding toolmaker Windsurf in a deal valued at approximately $3 billion, according to Bloomberg News. The agreement has yet to be finalized, Reuters reported.

Windsurf, formerly known as “Codium,” was recently engaged in funding discussions with various investors—including General Catalyst and Kleiner Perkins—based on a $3 billion valuation. In August 2024, following a $150 million investment round led by General Catalyst, the company was valued at $1.25 billion. Other backers at the time included Kleiner Perkins and Green Oaks.

If completed, this acquisition would mark the largest in OpenAI’s history. Windsurf’s technology is expected to significantly enhance the coding capabilities of OpenAI’s ChatGPT platform. While OpenAI has already introduced a series of improvements to coding functionalities across its recent models, the competitive landscape in AI-powered coding tools continues to intensify.

Neither OpenAI nor Windsurf responded immediately to Reuters' requests for comment.