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How Windsurf Built an AI IDE for Millions

Building
April 21, 2025
Varun Mohan shares Windsurf’s pivot story, UI insights, and AI future vision.
Topics discussed in the episode:
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What do you wish you had known before starting your company?
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What's the most counterintuitive thing about building AI products?
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How did early enterprise sales impact your startup?
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What skill sets are vital in the era of AI automation?
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How can founders balance short-term feedback with long-term vision?
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Why build your own platform instead of using existing tools?
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What qualities should you look for when hiring engineers in AI?
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How do you decide when it's time to hire and stay lean?
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How will coding change with AI in the future?
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How do you know when it's time to pivot your startup?

What do you wish you had known before starting your company?

Reflecting on past experiences can offer valuable lessons for founders.

I wish I had... this idea of just being OK with being wrong faster... We always talk about this... what if we had made it a couple months earlier.

• Embrace the possibility of being wrong to pivot sooner. • Encourage a culture of rapid learning and adaptation. • Recognize that timely decisions can have significant impact.

What's the most counterintuitive thing about building AI products?

Embracing disruptive innovation can be at odds with incremental development.

A lot of the bets we're making inside the company are for things that are not... 3-4 weeks away... Every 6 to 12 months it should make our existing product look silly.

• Invest in long-term innovation over short-term gains. • Disrupt your own products to stay ahead of competitors. • Balance immediate user needs with future advancements.

How did early enterprise sales impact your startup?

Early focus on enterprise sales can drive significant growth.

We actually made this decision pretty early... and very quickly after that scaled a sales team... If you want to sell to the Fortune 500, it is very hard to do that purely by swiping your credit card.

• Don't underestimate the importance of enterprise sales early on. • Hiring experienced sales leaders can accelerate growth. • Tailor your approach to meet enterprise clients' unique needs.

What skill sets are vital in the era of AI automation?

Identifying important skills helps teams stay relevant as AI evolves.

I think one of the things that's maybe a little bit undervalued is this kind of agency piece... it's really going to be important.

• Foster high agency and proactive problem-solving in your team. • Encourage employees to take initiative beyond prescribed roles. • Value skills that AI cannot easily replicate, like creativity and strategic thinking.

How can founders balance short-term feedback with long-term vision?

Balancing immediate user feedback with long-term innovation is critical.

There's this weird tension where you want to have a product in market and you want to incrementally iterate... but... the value of that is going to depreciate very quickly unless we continue to reprove ourselves.

• Prioritize groundbreaking innovation alongside incremental improvements. • Anticipate future user needs even before they express them. • Continuously challenge and disrupt your own products.

Why build your own platform instead of using existing tools?

Sometimes creating your own tools can unlock new capabilities and advantages.

We needed to build custom review flows into the IDE... So we had to build our own IDE with some of these new agentic capabilities.

• Recognize when existing tools limit your innovation. • Invest in building proprietary solutions if they offer significant benefits. • Tailor your product to better serve your users' needs.

What qualities should you look for when hiring engineers in AI?

Hiring the right talent is key to building innovative AI products.

We sort of look for people that are really, really passionate about the mission... and people that are willing to work very hard.

• Seek candidates passionate about your mission. • Prioritize hard work alongside technical skill. • Build a team committed to collaboration and high standards.

How do you decide when it's time to hire and stay lean?

Balancing growth with team size is essential for efficiency and focus in a startup.

I want the company to almost be like this dehydrated entity... Every hire is like a little bit of water, and we only go back and hire someone when we're back to being dehydrated.

• Hire only when the team is truly overextended. • Encourage ruthless prioritization by staying lean. • Avoid overstaffing to prevent unnecessary complexity.

How will coding change with AI in the future?

Understanding how AI will transform coding helps founders prepare for the future of software development.

I think what engineering kind of goes to is actually what you wanted engineers to do in the first place, which is, what are the most important business problems that we do need to solve?

• AI will handle much of the code writing, shifting focus to problem-solving. • Engineers will prioritize deciding what to solve over how to implement it. • Invest in strategic thinking and problem definition skills.

How do you know when it's time to pivot your startup?

Knowing when to pivot is crucial for a startup's success, especially when initial assumptions change.

We felt a lot of what we built was not as valuable... So we... vertically integrated and actually took our infrastructure... to build Codium at the time.

• Be willing to reassess your original assumptions and pivot accordingly. • Focus on building what will be valuable in the future, not just what works now. • Pivot decisively and maintain focus after changing direction.