Davriellelouna@lemmy.world to

Technology@lemmy.worldEnglish · 1 month ago

Techcrunch reports that AI coding tools have "very negative" gross margins. In other words, they are losing money on every user.

795

Techcrunch reports that AI coding tools have "very negative" gross margins. In other words, they are losing money on every user.

Davriellelouna@lemmy.world to

Technology@lemmy.worldEnglish · 1 month ago

Exclusive: The high costs and thin margins threatening AI coding startups

Coding assistant startups are highly unprofitable, says a source familiar with Windsurf financials.

Chat

Tollana1234567@lemmy.today
link
fedilink
English
arrow-up
4·
1 month ago
ive seen a ton of billboards of startup AI comp in west coast, i assume every new one that appears on these billboards, the old ones go under.

Technology@lemmy.world

technology@lemmy.world

You are not logged in. However you can subscribe from another Fediverse account, for example Lemmy or Mastodon. To do this, paste the following into the search field of your instance: !technology@lemmy.world

This is a most excellent place for technology news and articles.

Our Rules

Follow the lemmy.world rules.
Only tech related news or articles.
Be excellent to each other!
Mod approved content bots can post up to 10 articles per day.
Threads asking for personal tech support may be deleted.
Politics threads may be removed.
No memes allowed as posts, OK to post as comments.
Only approved bots from the list below, this includes using AI responses and summaries. To ask if your bot can be added please contact a mod.
Check for duplicates before posting, duplicates may be removed
Accounts 7 days and younger will have their posts automatically removed.

Approved Bots

Visibility: Public

This community can be federated to other instances and be posted/commented in by their users.

3.57K users / day
8.52K users / week
18.1K users / month
37.1K users / 6 months
1 local subscriber
75K subscribers
5.83K Posts
162K Comments
Modlog