Microsoft has clearly taken notice. They're already starting to lock down the upstream VSCode codebase, as seen with recent changes to the C/C++ extension [0]. It's not hard to imagine that future features like TypeScript 7.0 might be limited or even withheld from forks entirely. At the same time, Microsoft will likely replicate Windsurf and Cursor's features within a year. And deliver them with far greater stability and polish.
Both Windsurf and Cursor are riddled with bugs that don't exist upstream, _especially_ in their AI assistant features beyond the VSCode core. Context management which is supposed to be the core featured added is itself incredibly poorly implemented [1].
Ultimately, the future isn't about a smarter editor, it's about a smarter teammate. Tools like GitHub Copilot or future agents will handle entire engineering tickets: generating PRs with tests, taking feedback, and iterating like a real collaborator.
[0] https://www.theregister.com/2025/04/24/microsoft_vs_code_sub...
[1] https://www.reddit.com/r/cursor/comments/1kbt790/rules_in_49...
Probably.
> And deliver them with far greater stability and polish
That seems ... overly optimistic given MS's history.
I agree with the rest, they've all mostly lost market share or completely no longer exist due to VS Code, but not IntelliJ, that platform is going really strong.
Though no doubt, VS Code has pushed JetBrains to rethink some things, and be better in general.
They can have all the money in the world and it doesn't mean much in this context.
For while Microsoft is going to invest heavily in a Cursor / Windsurf like product and likely do alot to ship it in their editors - likely with exclusions or lag times between updates on other platforms - there's zero reason for Google to do this for example, when they could sell through Gemini for Code as an extension across all editors.
I don't see JetBrains having issues because of AI tooling, for most of these companies, its a boon to be on the JetBrains platform. Especially because JetBrains has lots of enterprise customers who would naturally be very interested in buying AI tooling for their developers. Its a natural market