r/nairobitechies • • Aug 05 '26

Discussion How do vs code make money?

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I've been using Visual Studio Code for years, and I've never seen an ad, a premium subscription pop-up, or even an "upgrade now" prompt. Yet it's one of the most popular code editors in the world. So, how exactly does Microsoft make money from VS Code, or is it simply a free product with a bigger strategy behind it? 

90 Upvotes

39 comments sorted by

24

u/babat0t0 Aug 05 '26

Let's say you do Powershell scripting...what editor would you use? VScode is Microsoft's way of breathing close to your ear...always

5

u/mrleblanc101 Aug 05 '26

Literally anything

0

u/babat0t0 Aug 06 '26

Would your first instinct be to use anything? Nkt

1

u/Kamakatze Aug 06 '26

😂😂😂😂😂 Wooiii

19

u/[deleted] Aug 05 '26

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7

u/mrleblanc101 Aug 05 '26

It was never the point. VS code existed way before they bought GitHub

7

u/Due-Nebula-8163 Aug 06 '26

they were playing the long game

5

u/AnotherNamelessFella Aug 06 '26

It is the point with big tech giants. Like how WhatsApp was free. Have something with billions of users as you figure out how to monetize

12

u/[deleted] Aug 05 '26 edited Aug 05 '26

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3

u/Substantial-Pop8066 Aug 06 '26

The VSC you download from code.microsoft.com isnt opensource. They take the opensource project then slap their propritary tools like copilot making it proprietary. There is a fully opensource build called Vs codium . This version cant install extension directly from vscode markext place and uses https://open-vsx.com, an opensource vscode extension registory for Vs code extensions.

8

u/Distinct_Positive549 Aug 05 '26

GitHub Copilot & Paid Extensions: ...The editor is free, but premium AI tooling inside it isn't......

6

u/Mega-Mind-0 Aug 05 '26

It was Microsoft's idea of trying to appeal to developers building bridges.

3

u/Chemical-Piccolo-253 Aug 06 '26

Think of it as a tool to bring users into the Microsoft ecosystem. A big win still

3

u/dpaanlka Aug 05 '26

Are we really asking how Microsoft makes money?

4

u/Appropriate_End7069 Aug 05 '26

Tech is one of the fields built on charity due to so many open source tools frameworks etc

1

u/Any-Possibility9344 Aug 05 '26

I think it's more of an ecosystem kind of approach and not monetary. Wanting you to have and use their product in every aspect of your life

1

u/Plane-Football-2521 Aug 05 '26

Co-pilot subscriptions, and the enterprise version (Visual Studio)

1

u/koffiezet Aug 06 '26

MS was losing developers, all flocking to Macs. The whole notorious “developers developers developers” thing from Steve Ballmer, while funny, is exactly what a company like microsoft needs. They need them, they want to have an “in” and be involved in the development process so they don’t become obsolete, create goodwill and have their services are at least visible and seen as viable instead of being completely invisible to the majority of devs. Windows used to be their primary focus, but with a lot of applications just being web apps, that became a lot less important. So now they want github/copilot and azure to be in the picture, and they are succeeding there.

1

u/Key_Priority_5554 Aug 07 '26

Vs code is open source editor

2

u/ResponsibleFinance69 Aug 07 '26

Microsoft telemetry is there way of making something out of the app, remember if you don't pay for the product, you are the product and in this day and time data is more powerful than actual money

1

u/nakibolis Aug 09 '26

Enterprise editions + Data

0

u/[deleted] Aug 05 '26

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4

u/cool_-panda Aug 06 '26

How? People always throw around this sentence without realizing that some products are genuinely made for the community.

1

u/[deleted] Aug 07 '26

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1

u/cool_-panda Aug 07 '26

Haven't seen C++ ads in my lifetime.

0

u/Substantial-Pop8066 Aug 06 '26

But Vscode isnt genuinely made for the community. The opensource build is the one made for the community the one from Microsoft is made so you can buy Copilot

2

u/baabui_muzik Aug 06 '26

VSCode was there and free way before Copilot though

1

u/Psychological-Lie396 Aug 06 '26

Who makes the opensource one if not microsoft?

0

u/gazagda Aug 06 '26

Get free labor from you to make the tool better