Microsoft hires the team of Sequoia-backed AI collaboration platform, Cove

In a significant move within the tech industry, Microsoft has announced that it will be integrating the team from Cove, a startup backed by Sequoia Capital, known for its innovative AI-powered collaboration platform. This transition was communicated to Cove’s customers through an email revealing that the platform will cease operations. Cove, established in late 2023 by former Google Maps developers Stephen Chau, Andy Szybalski, and Mike Chu, had gained attention for its unique offering—a versatile whiteboard powered by AI that could help with various tasks, including trip planning. The startup successfully raised $6 million in seed funding from notable investors like Sequoia Capital and Elad Gil, among others. The platform distinguished itself by allowing users to manipulate AI-generated content on an editable canvas, as opposed to traditional chat interfaces. This approach provided users with greater flexibility in their interactions with AI. Cove's features included a built-in browser and support for PDFs and images, enriching the context for task generation such as cards, tables, and lists. In a competitive landscape that included platforms like Miro and TLDraw, Cove aimed to redefine collaborative processes. In the announcement, Cove confirmed that the entire team is set to join Microsoft. The email to customers specified that all services would be discontinued by April 1, with assurances that user data would be deleted in accordance with the shutdown. Cove has also initiated refunds for March subscriptions and established a process for users to export their data. Reflecting on their journey, the founders expressed a strong belief in the mission of transforming collaboration through AI. They are excited about the prospect of continuing this vision at Microsoft AI, where they anticipate even greater possibilities. The company also noted that the core concepts behind Cove would be integrated into Microsoft’s offerings. Notably, Microsoft had already incorporated AI capabilities into its own collaboration tool, Whiteboard, with the addition of Copilot in 2023. TechCrunch has reached out to Microsoft for insights into how Cove’s technology will be utilized within its framework but has not yet received a response.