Coder of 20+ years teaching non-technical people how to build their own software business in 30 days with AI. No devs or code required.
Is Cursor AI About to Die? (New Pricing Update)
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Hey Reader, The AI coding world is on fire right now. Cursor, the tool everyone used to love, is suddenly in the midst of a sh*tstorm. And honestly, most of the outrage isn't entirely unfounded... Here's what actually happened (and what you need to know). The $20 Dream Is DeadFor months, Cursor offered unlimited AI coding for $20/month. 500 fast requests. Unlimited slow requests. Pure joy. But here's the thing everyone knew but nobody wanted to admit: $20/month for unlimited AI was never sustainable. Anyone who's used Claude API's directly knows these models cost serious money. Cursor was basically bleeding VC cash to buy market share. The New RealityThree weeks ago, they changed everything. The Pro mode for $20 was not unlimited anymore, and oh hey, there's a $200 ULTRA plan now. Still unlimited usage in both. Sounds good, right? Except... you no longer get to choose your favorite AI model to code. Instead, you must use the "auto" mode, which is very hit and miss (unusable tbh). Most users are pissed because they want unlimited Claude Sonnet/Opus specifically. But that's like wanting unlimited poker chips for the price of slot machine spin. The Numbers Don't LieSo I upgraded to the $200/month Cursor Ultra plan. It gives me "at least" $400/month in preferred model usage, so I tested it. A full three hours of Claude Opus 4, the most expensive model, and... I blasted through $156 of my included credits. 😂 Meanwhile, others on X mention that they could get over $800 of usage out of it. So is this fair? In my opinion, yes, but... What This Really MeansThe free lunch is over. Every AI tool will face this same reality eventually. The math just doesn't work. Compute is heavily underpriced right now, and this will change soon. But here's what's interesting... Claude has their own coding tool with better pricing than anyone else. Why? Because they make the models. They don't pay middleman fees. So is Claude Code the better choice? The Bottom LineIf you're serious about AI coding, you have two real options:
The $20 dream? It's never coming back. Anyone promising unlimited AI for cheap is either lying or about to go bankrupt. Sometimes the truth sucks, but it's still the truth. Talk soon, P.S. I made a full breakdown video diving deeper into this drama. The comment section is... spicy. |
Robin Ebers
Coder of 20+ years teaching non-technical people how to build their own software business in 30 days with AI. No devs or code required.
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