Windsurf Employees' Turmoil Challenges Silicon Valley's Social Contract

Windsurf, an AI coding startup, initially poised for a $3 billion acquisition by OpenAI, saw the deal collapse, leading to a complex series of negotiations where Google paid $2.4 billion to acquire its top talent and license its IP, leaving many employees in uncertainty. The deal has sparked concerns about precedent-setting in Silicon Valley, especially regarding employee treatment and deal structuring, with some investors criticizing the outcome as damaging for startup ecosystems.