In a strategic move to bolster its AI capabilities in coding automation, Google has brought on board Indian-origin entrepreneur Varun Mohan, co-founder and CEO of AI startup Windsurf. This development supports Google’s growing focus on enhancing its Gemini platform, particularly in the area of AI-assisted software development.
Demis Hassabis, Co-Founder and CEO of Google DeepMind, confirmed the announcement on Saturday via X, welcoming Mohan and key Windsurf engineers to the team. “Thrilled to welcome @windsurf_ai founders Varun Mohan and Douglas Chen and some of the brilliant Windsurf eng team to @GoogleDeepMind,” said Hassabis. “Excited to be working with them to turbocharge our Gemini efforts on coding agents, tool use, and much more. Great to have you on board!”
The partnership comes as part of a $2.4 billion licensing and compensation deal, allowing Google a non-exclusive license to Windsurf’s intellectual property. Importantly, this is not an acquisition, and Windsurf remains an independent company with the ability to license its technology to other organizations.
Windsurf has gained attention in the AI coding landscape for its innovative “vibe coding” concept—an intuitive, creative approach to code generation. Rather than offering standard completions, Windsurf’s tools are designed to function more like intelligent collaborators, enhancing the developer experience.
Douglas Chen, co-founder of Windsurf, along with several other team members, will also join Google DeepMind. They will contribute to “agentic coding,” a next-gen AI framework that aims to turn coding assistants into proactive co-developers capable of reasoning and taking initiative in software creation.
The move comes as a setback to OpenAI, which was reportedly in exclusive talks to acquire Windsurf earlier this year, valuing the company at close to $3 billion. That exclusivity agreement has now lapsed, allowing Google to strike this licensing deal.
Meanwhile, Windsurf will continue to develop its enterprise products under interim CEO Jeff Wang. “We’re excited about what lies ahead and proud that our team will help shape the next wave of AI-assisted development,” Wang posted on X.
Google’s latest addition signals the intensifying race among tech giants to lead in AI-powered developer tools, as rivals like Microsoft and Meta double down on similar investments.