Comment by hedayet
12 hours ago
I was so surprised (or shocked) to hear that Windsurf was getting acquired for 3 billion dollars, I made an HN post asking about the truth of that news - https://news.ycombinator.com/item?id=43933825. HN's system didn't like my tone I guess and removed it, lol.
But in any case, I just can't see how AI code editors like Windsurf or Cursor, without any proprietary model, can be valued at billions. What's the underlying IP that justifies these valuations?
Similar thing to what we’ve witnessed with crypto coins. It’s AI season and those with money invest in it, pump it and will exit post IPO. Difference here is, that besides value that those products “hold”, it’s possible also to provide AI as a service, making Google / Microsoft etc interested.
They sell stuff that actually works, and people who use it convince people who pay money to pay for it.
Maybe Google sees something under the hood
They both have proprietary models.