alt Hacker NewsCursor is allegedly worth $60B. That is a higher market cap than Mercedes Benz group, which is profitable and has $144B revenue.
But the website uses 100% CPU. And this is a beta for paid plans, not a GitHub alternative.
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Comparing revenue across industries/verticals is not sound.
Mercedes has a ~5% profit margin on this revenue.
SaaS, even AI SaaS is expected to have much higher profit margins at scale.
And on top of that, Mercedes shrunk by 10% revenue over the last year, rather than growing, which makes sense because they missed EVs and are now managing decline and returning money to shareholders.
> Cursor is allegedly worth $60B
Inflated valuation of buyout, based on inflated valuation of SpaceX
i just wish the bubble would pop already. I'm just so over ai.
Cursor and Mercedes Benz is a weird comparison. One company is working on the future technology while the other one is stuck in the last centuries technology which is being phased out.
All AI companies are valued as if they'll win the AI race. Problem is, only one can win *
* That is, if a lab like Deepseek doesn't release a "good enough" model for the cost of electricity + a thin margin. Then all AI company lose and all consumers win.