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September 15, 2025: The Day the Industry Admitted AI Subscriptions Don't Work


Another chapter in the AI pricing playbook

Tellingly, they themselves admit, “Fixed costs per request aren't suited to this new reality.” That's exactly why subscription pricing for AI never made sense in the first place. It's the same subscription trap Cursor fell into, just wrapped in different packaging, proving that being backed by Big Tech doesn't mean you understand the economics of AI any better than the rest. Cursor’s users are learning what we've been saying for months: there's no sustainable way to offer unlimited access to expensive AI models at consumer price points.

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