zlacker

Part of what you're missing is that OpenAI needs to justify its own overinflated valuation. They raise money on the premise that an AI-native company can and will outcompete giant established players, so lowballing Windsurf would run counter to the narrative they're selling to their own investors.

>>lolind+(OP)
The article also doesn't say that it's $3B in cash that OpenAI is spending. They might be giving Windsurf $3B worth of OpenAI shares - paying an inflated value for Windsurf with their own inflated value.

OpenAI just had a fundraising round that put them at $300B. Maybe they're just giving Windsurf 1% of OpenAI. Maybe they're even giving less than 1% - if OpenAI was worth $300B at the end of March and $150B last October, maybe they're worth $400B now. Maybe Windsurf is getting 0.75% of OpenAI that's "valued" at $3B.

>>lolind+(OP)
So they are effectively blowing their own bubble?

>>worlds+0V
That is what it looks like from where I sit, yes.

They built all of this assuming VSCode was a solid foundation for the next 30 years and I've completely undermined VSCode's technical foundations. Their castle is gonna sink into the swamp...

>>mdasen+d5
> OpenAI just had a fundraising round that put them at $300B. Maybe they're just giving Windsurf 1% of OpenAI

That is the most hilarious maths I have ever seen, if this is true then it's maybe the biggest "holy fuck it's a bubble all the way down" I have ever seen

>>jofzar+I51
It is very likely that such a deal isn’t fully in cash. Maybe it’s 50/50, but probably a large part will be in stocks.