OpenAI is in negotiations to pay $3 billion to acquire Windsurf, an AI coding firm.

According to a person familiar with the situation, Bloomberg reported that OpenAI is in negotiations to purchase Windsurf, an AI-powered coding tool, for roughly $3 billion. It would be the largest acquisition made by OpenAI to date if the deal closes. The report did add, though, that the agreement is not yet complete and might yet change or fail.

Windsurf, formerly known as Codeium, did not reply to Reuters’ request for a response, and OpenAI did not comment on the report. Windsurf was valued at $1.25 billion after raising $150 million in a fundraising round headed by General Catalyst in 2024.

With the emergence of chatbots and other potent AI technologies, interest in AI has significantly increased in recent years. OpenAI stated in March that it would raise an additional $40 billion in investment, increasing its valuation to $300 billion.

In 2023, OpenAI acquired Global Illumination, a business that developed creative tools using AI. However, it did not specify the amount it paid for the transaction.

Along with Cursor and Replit, Windsurf is one of numerous tools that developers have recently begun employing to “vibe code.” According to a CNBC report, this term refers to the use of AI to rapidly write code for new software. Microsoft debuted a comparable feature dubbed Agent Mode in its well-known coding program, Visual Studio Code, earlier this month.