Cursor Faces Dev Backlash as VS Code Launches Open-Source AI Tool

#ai #vscode #devtools #cursor

In just 24 hours, Cursor’s developer community has erupted in frustration. Reddit threads and forum posts are lighting up with one shared theme: something’s off—and the silence from the team isn’t helping.

🚨 The Performance Slowdown

The biggest issue? Cursor has become painfully slow, especially for anyone not on the “fast” plan (their highest-tier subscription offering priority compute). Users report that non-fast requests hang or timeout entirely.

"Cursor intentionally slowing non-fast requests"
"Cursor is unusable now"
"Cursor isn't generating anything"

These aren’t one-off gripes. The volume and tone suggest a deeper shift—something changed behind the scenes, and it hasn't been communicated.

💸 Paying Users Are Frustrated

Many of those raising concerns are long-time supporters—people who were paying users well before Cursor took off. Some have already canceled their subscriptions. Others are hanging back, waiting to see if it gets fixed.

One user summed it up:

"I used to love this tool. Now I sit waiting 45 seconds for a simple autocomplete—I canceled this morning."

🤐 Transparency—or the Lack Thereof

Cursor seems to have changed how its backend handles requests. But there’s been no announcement. No changelog. No in-app heads-up. That silence is damaging.

Speculation is growing:

Is this a response to increased costs?
Is the student free-tier initiative overwhelming the infrastructure?
Is usage outpacing revenue?

Nobody knows—and that’s the problem.

🧨 VS Code Just Dropped a Bomb

The timing couldn’t be more significant: on May 19, 2025, Microsoft announced that Visual Studio Code is becoming an open-source AI editor. Copilot Chat is going MIT license. Core AI integration is going native.

It’s a big move:

More openness — a stark contrast to Cursor's current silence
More customization — developers regain control
More transparency — directly addressing the key complaint Cursor is facing

For many devs, this could be a turning point.

🤔 Speculation and Mistrust

This may be a pivotal misstep for Cursor. Tools like Windsurf, Claude Code, and other emerging AI dev environments are becoming more attractive by the day.

Cursor’s model may be running up against cost ceilings. But without communication, all devs see is a once-great tool that now feels slow, unpredictable, and closed off.

And once trust breaks—it’s hard to earn back.