Google makes $$ deal 2,4 billion with AI improvement startup

Focused on advancing AI capabilities (Artificial intelligence), Google signed an agreement for US$ 2,4 billion with a leading startup in intelligent code generation. Linked to parent company Alphabet, the technology giant announced this last Friday (11) the hiring of important Windsurf executives. The objective is to use the knowledge of professionals in agentic coding initiatives for application in the Gemini project.

As part of this agreement, Google will pay US$ 2,4 billion in license fees on non-exclusive terms for the use of part of the startup's technology. According to people familiar with the contract, Google will not take any stake in the company. Furthermore, Windsurf investors will receive liquidity through the stipulated license fee, maintaining the stake in the technology company.

Team that will work at DeepMind

Among the Windsurf executives who will work at Google are CEO Varun Mohan, co-founder Douglas Chan and some members of the coding tool research and development team. Professionals will join the Google DeepMind division to deepen advances, especially in Gemini's performance. “We're excited to welcome some of the top AI coding talent to the Windsurf team at Google DeepMind to advance our work in agentic coding”, declared Google in an official statement.

Sale to OpenAI suspended

The announcement of the agreement between Google and Windsurf surprised the market, as the startup had been negotiating its sale to OpenAI for months. Furthermore, the unusual structure of the deal represents a victory for Windsurfing supporters. The startup raised US$243 million from investors, including Kleiner Perkins, Greenoaks e General Catalyst, and was last valued at US$1.25 billion, according to PitchBook.