Cursor Is Done - Pricing Is Unsustainable

Cursor IDE faces significant challenges with its pricing model changes that have upset users. The $20/month plan now provides less value while users quickly exhaust quotas within days, leading to unexpected pay-as-you-go charges. The company apologized for unclear pricing rollouts, but the fundamental issue remains: AI coding tools are expensive to operate and the token-based billing system confuses end users. With competitors like Windsurf and AWS entering the market, and major tech companies potentially outspending smaller players, Cursor's sustainability appears questionable without a clear financial moat.