> Google will instead hire Windsurf CEO Varun Mohan, cofounder Douglas Chen, and some of Windsurf’s R&D employees and bring them onto the Google DeepMind team, [...] Google will not have any control over nor a stake in Windsurf, but it will take a non-exclusive license to some of Windsurf’s technology. [...] Google didn’t share how much it was paying to bring on the team. OpenAI was previously reported to be buying Windsurf for $3 billion.
Why not an acquisition?
How did Google get Windsurf and investors to agree to this maneuver that decapitated the leadership and key talent, without a big exit event for everyone?
My read of the article: "Here's x% of what OpenAI offered you, you waive legal challenges while we cherry-pick your people and license the tech in their heads, and you can keep the company, and everyone left behind can promote themselves to fill the vacancies."
I wonder whether the left-behind small-fry employees make out comparably to how they would with an IPO or big acquisition.
Or if the deal is more like: "We'll pay you double what you could make elsewhere for the 2 years we want you to Potemkin Village, or you can walk and get paid zero; we don't care, because enough people will stay."
I guess VCs can't force founders to stay (the only penalty for joining Google is loosing some/all of their Windsurf equity, but I'm sure they chose what's better for them), and employees didn't need to agree (they have no vote).
Why not an acquisition?
How did Google get Windsurf and investors to agree to this maneuver that decapitated the leadership and key talent, without a big exit event for everyone?
My read of the article: "Here's x% of what OpenAI offered you, you waive legal challenges while we cherry-pick your people and license the tech in their heads, and you can keep the company, and everyone left behind can promote themselves to fill the vacancies."