AI coding assistant startup Windsurf has promoted users’ “mass savings” as it lowered its “overall” price, which it announced on Monday, and its rival cursors intensifies.
Windsurf said it removed the complex system of “flow action credits” and bills developers for actions that AI has taken in the background. It also cuts the price of its team plans from $35 to $30 per month, while also “much cheaper” its enterprise plans as per the announcement.
Windsurf’s product marketer Rob Hou praises Windsurf for optimizing GPU usage by declaring that Windsurf “now has the best affordable pricing structure for all AI coding tools on the market.”
Hou criticised the “confusing” competitor plans with a monthly price of $20, apparently unearthed in Cursor’s individual monthly plans starting at $20 compared to Windsurf’s $15.
The price overhaul is reportedly being considered for Windsurf for $3 billion for an acquisition by Openai (Cursor’s creator Anysphere is in discussions to raise it at a $10 billion valuation). As TechCrunch previously reported, Windsurf was the smaller of the two coding assistant startups, generating around $100 million of ARRs compared to Cursor’s $300 million. Openai originally wanted to buy cursors, but it’s growing so fast that it’s not in the market to sell.
Windsurf has not confirmed Openai’s acquisition report, but recently strengthened its public cooperation with Openai.
For example, Windsurf CEO Varun Mohan appeared in the launch video for Openai’s latest family of API models earlier this month. Also, as part of the announcement of the price change, Windsurf is luxurying users with free and unlimited usage of Openai’s latest GPT-4.1 and O4-MINI models.
The big question is whether the cursor will reduce its own price in response to improvements to the windsurf. It could put a price war at risk, making it difficult for both startups to increase profitability.
Windsurf, who declined to comment on the article, said in its announcement it continues to provide its promise “from the start” to hand over the savings to users.
Cursor Creator Anysphere did not respond to requests for comment.
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