OpenAI is reportedly in talks to acquire AI coding tool Windsurf for $3 billion, marking its largest acquisition yet. The deal is not finalized and may change. Windsurf, aiming for investor support of the same amount, was valued at $1.25 billion last year. In parallel, OpenAI is developing a social media platform and launching its GPT-4.1 model to attract more business users.
OpenAI is eyeing a significant acquisition of Windsurf, an AI-driven coding tool, valued at $3 billion. This potential deal, reported on April 16 by Bloomberg, would mark OpenAI’s largest acquisition yet. However, specifics remain undecided, and discussions might still shift or even collapse, as per an anonymous insider.
Windsurf, previously known as Exafunction, recently attempted to secure $3 billion from investors and had a valuation of $1.25 billion last year under General Catalyst’s leadership. Both companies declined to provide comments on the situation when approached by Bloomberg.
Should this deal finalize, it would bolster OpenAI’s position against competitors in the AI coding software market, which includes rivals such as Anthropic and Microsoft-owned GitHub. Meanwhile, OpenAI is also developing a social media platform akin to X. The company’s CEO, Sam Altman, is reportedly seeking external feedback on this early-stage prototype that focuses on ChatGPT’s image generation with a social feed.
In addition, OpenAI is enhancing its appeal to business users with the launch of GPT-4.1, its latest ChatGPT model, which promises improvements in cost efficiency and complexity in query handling. The updated models support multiple formats, including text and images, although they’re currently available exclusively through an API for developers. To entice enterprises, OpenAI has introduced discounts, enabling users to send additional queries while lowering costs.
OpenAI’s potential $3 billion acquisition of Windsurf represents a significant strategic move to strengthen its foothold in the AI coding landscape. With competitors also vying for market share, this deal could enhance OpenAI’s capabilities. Additionally, the ongoing development of a social media platform and the launch of the advanced GPT-4.1 model highlight the company’s commitment to innovation and attracting business users.
Original Source: www.pymnts.com