capital · May 21, 2026
Google DeepMind hires over 20 researchers from Contextual AI in $80-100M licensing deal
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Google DeepMind agreed on May 19, 2026 to recruit more than 20 researchers from AI startup Contextual AI and license its technology. Alphabet paid Contextual between $80 million and $90 million as part of the agreement, with Contextual co-founder and CEO Douwe Kiela joining DeepMind. The deal follows Google's prior licensing arrangements including a $2.4 billion deal with Windsurf in 2025 and a 2024 deal with Character.AI. Contextual AI had raised $80 million in Series A funding in 2024. Google declined to comment on the transaction.