Tellingly, from his full post: "Mostly because I do not yet see an equivalent uptick in productivity or revenue..."

https://x.com/chamath/status/2029634071966666964

I suspect that as the value a company provides is more than its code, then increasing code churn does not lead to an equivalent increase in revenue. Even for a tech company, a business' concept, connections, knowledge, assets, non-coding staff, etc.. are a significant value and increasing code doesn't increase the throughput of that value. For non-tech companies code is the grease in the gears, not the gears themselves.

I've used Cursor a lot. Until recently it was mandated by my employer. I can't see the attraction at all. It's a (bad IMO) IDE integration, a reasonable model (but I still generally preferred Claude over Composer), and a bunch of other tools that weren't very developed (like cloud environments and multi-agent orchestration). It's a suite of tools, most of which have superior alternatives. What am I missing?

What do you mean?

Only the foundation model companies offer cheap/subsidized compute.

If you're an app layer company, you're offering a 10x worse deal to your customers.

Foundation model companies are willing to lose money to win loyalty. Remains to be seen if it'll work.