Friday, August 1, 2025

Cline Secures $27 Million to Empower Developers in Managing AI Expenses

Cline, an open-source AI coding tool founded by CEO Saoud Rizwan, emerged from Anthropic’s “Build with Claude” hackathon. Software developers are increasingly investing in AI coding applications like Cursor and Claude Code, though many express frustration over fluctuating pricing plans. Cursor recently faced backlash for changing its subscription model, prompting complaints from users about unexpected costs and usage limits. In contrast, Cline offers transparency, allowing developers to choose AI models without hidden fees or arbitrary limitations. Since launching in October 2024, Cline has garnered 2.7 million installs and secured $27 million in Series A funding. Unlike competitors who bundle inference costs into subscription fees, Cline directs payments to AI model providers, ensuring clarity in billing. This model appeals to enterprise clients, including Samsung and SAP. Rizwan believes that by being open-source, Cline fosters trust and control, positioning the tool as a competitive alternative amid rising dissatisfaction with existing AI coding solutions.

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