Cognition AI, known for its coding assistant 'Devin', has acquired Windsurf, a rival AI startup, marking a major consolidation in the AI dev tools space. This move comes just days after Google committed $2.4 billion to license Windsurf’s tech and hire key staff. As noted on Cognition's blog, the deal brings in Windsurf's intellectual property, brand, $82 million in revenue, and over $100 million in capital.

Cognition plans to merge Windsurf’s agentic IDE with Devin, creating a seamless, parallel-tasking environment for developers. Employees will benefit from accelerated equity vesting, and those without equity will be granted shares based on tenure. The deal follows Windsurf’s failed $3 billion sale to OpenAI due to complications reportedly involving Microsoft.

This acquisition is seen as a positive outcome for Windsurf’s remaining team, especially after the company’s turbulent week. As per Cognition’s official blog, the integration will empower Devin with expanded collaboration capabilities, cementing its leadership in AI-native software tools.