COGNITION ACQUIRES WINDSURF

Summary from the TLDR Founders newsletter

Cognition scooped up Windsurf's remaining 250-person team and $82 million ARR business after Google's $2.4 billion reverse-acquihire cherry-picked only the leadership, leaving employees behind without payouts. The acquisition gives Cognition both AI coding agents and IDE capabilities to compete with Cursor's $500 million ARR, and restores Windsurf's access to Claude models that Anthropic had cut off amid rumors of an OpenAI acquisition.