Why I QUIT Claude Code for Cursor (NEW Pricing + Honest Review)

Summary

In this video, Rob discusses the recent strategic move by Cursor, which has caught the attention of the AI community, especially regarding Claude Code's dominance. Cursor has introduced a $200/month Ultra Plan that competes directly with Claude Code’s Max Plan. Rob compares both tools, highlighting Cursor’s increased versatility, including access to multiple models, background agents, and features like a bug bot. He also mentions his own experience using the Cursor Ultra Plan, offering insights into its performance and the ongoing debate in the coding community regarding which plan offers the best value.

Takeaways

• 😀 Cursor's parent company, Anisphere, hired key figures from Anthropic, signaling a major move to disrupt Claude Code.
• 😀 Claude Code is no longer seen as the miracle tool it once was; its limitations are becoming more apparent.
• 😀 Cursor now offers a $200/month ultra plan with improved features, including a web agent for mobile coding and bug prevention integrations.
• 😀 The new Cursor ultra plan provides 20x the limits of the standard plan, which makes it a compelling choice for serious coders.
• 😀 The $200/month Cursor plan includes all available AI models, not just Claude, offering flexibility with tools like OpenAI and Gemini 2.5 Pro.
• 😀 Although Cursor's $200 plan seems attractive, its shift to usage-based pricing instead of request-based pricing has left users confused about rate limits.
• 😀 Unlike Claude Code's transparent session limits, Cursor's new plan lacks clear transparency on usage limits, causing frustration among users.
• 😀 Cursor's ultra plan offers 20x the limits of the $20/month plan, making it great value for those needing more capacity.
• 😀 The $200/month Cursor ultra plan enables use of advanced models like OpenAI’s 03 and Gemini 2.5 Pro, which adds significant value for developers.
• 😀 Despite some concerns over the ultra plan's lack of clarity, the author found Cursor's performance impressive and without rate limits during extended use.
• 😀 For those with varying budgets, the choice between Cursor and Claude Code boils down to personal priorities: value for money, transparency, or access to specific AI models.

Q & A

Why did the Cursor team make a move that could potentially hurt Anthropic's Claude?

Cursor's parent company, Anisphere, poached two key members from Anthropic, including Kathwin Woo, the product manager, and Boris Churnney, the lead developer and creator of Claude Code. This strategic move could weaken Claude's development by stripping away insiders with deep knowledge of its roadmap and weaknesses.

What is the primary reason Rob is switching back to Cursor?

Rob is switching back to Cursor because of its new $200/month Ultra plan, which offers substantial improvements, such as a web agent for mobile coding, integration with GitHub, and more models beyond Claude, making it a more versatile tool.

What are some new features offered by Cursor that make it competitive with Claude?

Cursor now offers a $200/month Ultra plan with 20x the limits of the standard plan, a web agent for coding from mobile, and Buckbot integration with GitHub. These features, alongside support for multiple AI models, make it a powerful tool for coders.

How does Cursor’s $200/month Ultra plan compare to Claude’s Max plan?

Both plans cost $200/month, but Cursor’s Ultra plan provides 20x the limits of the $20/month plan and includes features like the ability to use different AI models. Claude's Max plan is more restrictive with its 5-hour sessions and model limitations.

What is the biggest drawback of Cursor's new pricing system, according to Rob?

The biggest issue with Cursor’s new system is the lack of transparency regarding rate limits. Unlike Claude, where users can easily understand their limits, Cursor’s usage-based pricing leaves many unclear about the specific limits, causing confusion and frustration.

What makes Cursor's Ultra plan more appealing compared to Claude’s Max plan for some users?

Cursor's Ultra plan is more appealing because it provides access to multiple models, not just Claude, which allows for greater flexibility in coding tasks. This is especially useful when different models are needed for different types of tasks, such as feature planning or bug fixing.

What are some of the limitations of Claude Code that Cursor is overcoming with its updates?

Claude Code faces issues such as a limited context window and the inability to easily debug or track changes over time. Cursor's new updates, including support for a wider range of models and more robust debugging features, address these problems.

How does Cursor's Pro Plus plan differ from the Ultra plan?

The Pro Plus plan provides three times the limits of the standard Pro plan, while the Ultra plan offers 20x the limits and additional benefits such as access to multiple AI models and the max mode, which improves context and thinking times.

What is Rob’s opinion on the long-term potential of Cursor versus Claude?

Rob believes Cursor has a better overall package due to its versatility in offering different models and useful tools like Buckbot and background agents. However, he also emphasizes the need for greater transparency regarding rate limits to make it a true competitor to Claude.

What does Rob suggest for users who have different budget levels?

Rob recommends the following: for $20/month, the Cursor Pro plan is a great option; for $60/month, the Pro Plus plan is a strong value; for $100/month, Claude’s Max plan might be better due to its virtually unlimited hours, but for $200/month, Cursor Ultra offers more flexibility with additional tools and models.