Microsoft’s GitHub was positioned to win the AI coding race. Outages got in the way

General News

Summary

GitHub has experienced repeated outages and a recent security incident that exposed thousands of internal code libraries, prompting enterprises to evaluate alternative code hosting and deployment tools. Executive turnover and delayed infrastructure migrations to cloud providers aggravated availability problems as usage from AI-assisted coding surged. Competitors such as Cursor, Anthropic's Claude Code, GitLab, and cloud offerings from Amazon and Atlassian have gained market share while GitHub adjusts Copilot economics to charge by usage. These issues threaten Microsoft’s early advantage in developer tooling at a critical moment for AI-driven coding adoption.

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Linked Companies

Ramp
$1B+
IBM
$1B+
Oracle
$1B+
Cisco
$1B+
Amazon
$1B+
Atlassian
$5M to $10M
Microsoft
$1B+
Semmle
$1M to $5M
GitLab Inc.
$250M to $500M
Cursor
up to $1M
OpenAI
$25M to $50M
Jellyfish
$10M to $25M
Stack Overflow
$100M to $250M
Anthropic
$10M to $25M