Cognition AI has acquired rival Windsurf

Cognition AI, the startup behind the Devin coding assistant, has acquired rival Windsurf. The deal comes after Google licensed parts of Windsurf’s technology for $2.4 billion and hired away several key executives, moves that weakened Windsurf as an independent company. OpenAI was also interested in acquiring Windsurf, but didn’t close a deal. As part of the acquisition, all Windsurf employees are set to benefit financially. Staff with equity will receive early payouts, while others will get partial ownership stakes. The move comes amid intensifying competition among major tech companies like OpenAI, Meta, and Google for top AI talent.