--- title: The AI Coding Shakeout Is Here | daily.dev description: Two major AI coding events this week signal a market shakeout: SpaceX struck a deal with Cursor including a $60B acquisition option plus access to xAI's... canonical: https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: The AI Coding Shakeout Is Here | daily.dev og:description: Two major AI coding events this week signal a market shakeout: SpaceX struck a deal with Cursor including a $60B acquisition option plus access to xAI's... og:url: https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk og:image: https://api.daily.dev/og/posts/52HvZGZzK.png og:image:alt: The AI Coding Shakeout Is Here og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # The AI Coding Shakeout Is Here **[Kilo Blog](https://daily.dev/sources/kilo-ai-blog)** · 6 min read · 18 upvotes · 1 comments ## Summary Two major AI coding events this week signal a market shakeout: SpaceX struck a deal with Cursor including a $60B acquisition option plus access to xAI's Colossus supercomputer, while Roo Code announced it's shutting down its VS Code extension and pivoting to a Slack-based cloud agent. Both moves stem from the same pressure — foundation models are commoditizing, and model providers like Anthropic and OpenAI are now competing directly with tools built on their APIs. The author argues the IDE is not dead, that model lock-in is the real risk, and uses the moment to position Kilo (an open-source, model-agnostic VS Code extension forked from Roo Code) as the alternative to closed, vertically integrated ecosystems. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Similar posts on daily.dev - [Your Coding Agent Will Get Ripped Out. Build Workflows That Survive It.](https://daily.dev/posts/your-coding-agent-will-get-ripped-out-build-workflows-that-survive-it--327ewzp8o) · Kilo Blog · 1 upvotes · 0 comments - [Roo Code pivots to cloud-based agent, says IDEs aren’t the future of coding](https://daily.dev/posts/roo-code-pivots-to-cloud-based-agent-says-ides-aren-t-the-future-of-coding-gzvafjdtg) · The New Stack · 0 upvotes · 0 comments --- Tags: [#ai-agents](https://daily.dev/tags/ai-agents), [#ai-coding](https://daily.dev/tags/ai-coding) [View this post on daily.dev](https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"The AI Coding Shakeout Is Here","url":"https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk"},"datePublished":"2026-04-24T13:42:05.254Z","dateModified":"2026-04-24T13:42:33.431Z","description":"Two major AI coding events this week signal a market shakeout: SpaceX struck a deal with Cursor including a $60B acquisition option plus access to xAI's...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/3d565003b72fd88385d117985ad6a54b?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/3d565003b72fd88385d117985ad6a54b?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"Kilo Blog","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"Kilo Blog","logo":"https://media.daily.dev/image/upload/s--x3pmrf8D--/f_auto,q_auto/v1774964071/logos/kilo-ai-blog?_a=BAMAMiWQ0","url":"https://daily.dev/sources/kilo-ai-blog"},"commentCount":1,"discussionUrl":"https://daily.dev/posts/the-ai-coding-shakeout-is-here-52hvzgzzk","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":18},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":1}],"keywords":"ai-agents,ai-coding","timeRequired":"PT6M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"Kilo Blog","item":"https://daily.dev/sources/kilo-ai-blog"},{"@type":"ListItem","position":3,"name":"The AI Coding Shakeout Is Here"}]} ```