OpenAI is killing open-source… here’s why

OpenAI is killing open-source… here’s why

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Descriptions:

David Ondrej examines a pattern he calls the ‘dirty playbook’: large AI labs poaching the core teams from popular open-source coding tools without formally acquiring the companies, then launching near-identical competing products. The central case is OpenAI’s reported acqui-hire of at least five key Cline engineers — including some of its best talent — leaving the widely-used open-source VS Code extension with declining commit activity and an uncertain future for its millions of users.

Ondrej traces the same strategy through two earlier examples: Meta’s $14 billion arrangement with Scale AI that effectively extracted CEO Alexander Wang and triggered contract cancellations from Google, OpenAI, and xAI (Scale AI subsequently laid off 14% of staff); and Google’s $2.4 billion deal to absorb the Windsurf founding team and 40 senior engineers, followed four months later by Google’s launch of a competing tool built by the same people.

As an alternative to Cline, the video highlights Kilo Code — an Apache 2.0-licensed superset of Cline and RooCode co-founded by a GitLab co-founder who maintained that platform’s open-source status through an $11 billion valuation and public listing. Kilo Code claims over one million active users, top position on OpenRouter by token volume approaching 100 billion, and is offering Kimi K2.5 access for free for a limited period. A brief VS Code setup walkthrough is included. Kilo Code is a sponsor.


📺 Source: David Ondrej · Published January 29, 2026
🏷️ Format: News Analysis

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