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Microsoft starts canceling Claude Code licenses

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11–20 of 489 posts

Re: Microsoft starts canceling Claude Code licenses

#11

Surely a company as large as Microsoft is actively attempting to build their own models. They couldn't possibly have expected to stake the future of their software development on the conditions of a third party company?

Curb Your Enthusiasm theme starts playing.

Re: Microsoft starts canceling Claude Code licenses

#12
The way coding agent work is fantastically wasteful. All the megabytes of code are processed over and over and over, sometimes withing just one session.

There are papers describing KV cache precomputation for commonly used documents (e.g. KVLink), but, of course, it's not a priority for model providers: they'd rather sell you more tokens, also they would rather get to AGI/ASI first than optimize usage of existing models...

Re: Microsoft starts canceling Claude Code licenses

#13
post #5

There's definitely a way to use Claude code that is token conscious. I've tried throwing unsupervised agentic software factory workflows against the wall, and they burned through my tokens like nobody's business but didn't produce much. Supervised, human-in-the-loop process on the other hand is much more productive but doesn't consume nearly as much. Maybe that's why everyone's pushing agentic approaches so much.

At the enterprise level though, its going to be hard to want to use a service in which costs are not predictable, and keeping those costs under control requires employee training.

Re: Microsoft starts canceling Claude Code licenses

#15

Surely a company as large as Microsoft is actively attempting to build their own models. They couldn't possibly have expected to stake the future of their software development on the conditions of a third party company?

> attempting to build their own models.

At one point there were rumours that they'd do that. They also have the rigts to oAI models for a few more years still, so they could always use that but apparently they're also compute starved (like anyone else).

Re: Microsoft starts canceling Claude Code licenses

#16
My experience is, Claude Code burns way more tokens compared to other agents, probably to ensure high levels of perceived quality, which is, most of the times not worth the bloat for the user. The bloat works for Anthropic as an advertisement at the cost of your tokens.

Re: Microsoft starts canceling Claude Code licenses

#17
post #5

There's definitely a way to use Claude code that is token conscious. I've tried throwing unsupervised agentic software factory workflows against the wall, and they burned through my tokens like nobody's business but didn't produce much. Supervised, human-in-the-loop process on the other hand is much more productive but doesn't consume nearly as much. Maybe that's why everyone's pushing agentic approaches so much.

My experience as well... I've only hit Antrhopic's 5hr threshold a few times, and two of them was within a half hour of the window. Also, all three times I'd already accomplished a LOT.

I tend to work with the agent, and observe what's going on as well as review/test and work through results/changes. I spend a lot more time planning tasks/features than the execution, even using the agent as part of planning and pre-documentation. It works really well. I don't think people burning through the 5hr allotment in under an hour are actually reviewing/QC/QA the results of what they're doing in any meaningful way, and likely producing as much garbage as good (slop).

I'm really curious as to HOW the MS employees were using the agents as much as what they were doing.

Re: Microsoft starts canceling Claude Code licenses

#18
post #5

There's definitely a way to use Claude code that is token conscious. I've tried throwing unsupervised agentic software factory workflows against the wall, and they burned through my tokens like nobody's business but didn't produce much. Supervised, human-in-the-loop process on the other hand is much more productive but doesn't consume nearly as much. Maybe that's why everyone's pushing agentic approaches so much.

The current thinking is automated agents is what turns this from an industry in the tens of billions to a multi trillion dollar one. So yes you are right on the money, agents stimulate demand for this thing they've built.

Re: Microsoft starts canceling Claude Code licenses

#20
post #3

This is an AI generated summary of a blog post ( https://www.thelowdownblog.com/2026/05/microsoft-cancels-int... ) which is a summary of an AI generated article ( https://blazetrends.com/microsoft-cancels-claude-code-pilot-... ) which is a summary of another AI generated article ( https://www.themodelwire.com/article/microsoft-starts-cancel... ) which is a summary of an article from The Verge ( https://www.theverge.c…

The artificial centipede.
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