Comment by fsndz
5 months ago
Anthropic is back and cementing its place as the creator of the best coding models—bravo!
With Claude Code, the goal is clearly to take a slice of Cursor and its competitors' market share. I expected this to happen eventually.
The app layer has barely any moat, so any successful app with the potential to generate significant revenue will eventually be absorbed by foundation model companies in their quest for growth and profits.
I think an argument could be reasonably made that the app layer is the only moat. It’s more likely Anthropic eventually has to acquire Cursor to cement a position here than they out-compete it. Where, why, what brand and what product customers swipe their credit cards for matters — a lot.
if Claude Code offers a better experience, users will rapidly move from cursor to Claude Code.
Claude is for Code: https://medium.com/thoughts-on-machine-learning/claude-is-fo...
(1) That's a big if. It requires building a team specialized in delivering what Cursor has already delivered which is no small task. There are probably only a handful of engineers on the planet that have or can be incentivized to develop the product intuition the Cursor founders have developed in the market already. And even then; I'm an aspiring engineer / PM at Anthropic. Why would I choose to spend all of my creative energy copying what somebody else is doing for the same pay I'd get working on something greenfield, or more interesting to me, or more likely to get me a promotion?
(2) It's not clear to me that users (or developers) actually behave this way in practice. Engineering is a bit of a cargo cult. Cursor got popular because it was good but it also got popular because it got popular.
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Cursor has no models, they dont even have an editor its just vscode
And Typescript simply doesn't work for me. I have tried uninstalling extensions. It is always "Initializing". I reload windows, etc. It eventually might get there, I can't tell what's going on. At the moment, AI is not worth the trade-off of no Typescript support.
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They do actually have custom models for autocomplete (which requires very low latency) and applying edits from the LLM (which turns out to require another LLM step, as they can’t reliably output perfect diffs)
I wonder if they will offer competitive request counts against Cursor. Right now, at least for me, the biggest downside to Claude is how fast I blow through the limits (Pro) and hit a wall.
At least with Cursor, I can use all "premium" 500 completions and either buy more, or be patient for throttled responses.
Reread the blog post, and I suspect Cursor will remain much more competitive on pricing! No specifics, but likely far exceeding typical Cursor costs for a typical developer. Maybe it's worth it, though? Look forward to trying.
>Claude Code consumes tokens for each interaction. Typical usage costs range from $5-10 per developer per day, but can exceed $100 per hour during intensive use.
> Reread the blog post, and I suspect Cursor will remain much more competitive on pricing!
Until Cursor burns through their funding and gives up or increases their price.
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hi! I've been using Claude Code in a very complementary way to my IDE, and one of the reasons we chose the terminal is because you can open it up inside whichever IDE you want!