zlacker

>>swyx+(OP)
I'm skeptical about this VSCode fork commanding a $3 billion valuation when it depends on API services it doesn't own. What's their moat here?

For comparison, JetBrains generates over $400 million in annual revenue and is valued around $7 billion. They've built proprietary technology and deep expertise in that market over decades.

If AI (terminology aside) replaces many professional software engineers and programmers like some of its fierce advocates say it would, wouldn't their potential customer base shrink?

Professionals typically drive enterprise revenue, while hobbyists—who might become the primary users—generally don't support the same business model or spending levels.

What am I missing here?

>>retorn+j62
"I'm skeptical about this VSCode fork commanding a $3 billion valuation".. Nothing to be skeptical about. The market has spoken. It was worth 3b to OpenAI. Companies arent worth a vague notion of what "value" someone in an armchair thinks they might be worth, they are worth what people are willing to pay, and OpenAI paid.