GitHub Copilot for free and under MIT license (film, 4m)
Fireship has just discussed a significant win for Vibe engineers that seemingly came out of nowhere. Minutes ago, Microsoft announced that it has open-sourced the tool that sparked the AI coding bubble, GitHub Copilot. As of today, it’s officially free and open-source under the MIT license, which means one can fork it, modify it, and even build a billion-dollar competitor without the fear of legal consequences. Additionally, Microsoft has also open-sourced the Windows Subsystem for Linux (WSL). This is crucial because for the last year or two, one of the hottest trends in Silicon Valley has been the notion of an AI-powered junior engineer that could transform anyone on the street into a skilled programmer. Startups have raised millions by forking VS Code and integrating some LLMs into it, with Cursor now valued at $9 billion and Windsurf recently acquired by OpenAI for $3 billion. While there are some promising open-source alternatives like the Void Editor, VS Code remains unparalleled and has been the reigning champion of code editors for nearly a decade.
In today’s video, Fireship delves into why Microsoft would give away the code for its highly valued Copilot. The timing of this announcement is intriguing, as OpenAI and Microsoft were once solid partners. They had an exclusive deal to train their models on Azure, but Microsoft recently ended that deal. Just a few days ago, OpenAI announced Codex, a cloud-based coding agent capable of generating an extraordinary number of bugs in parallel, which is a product very similar to GitHub Agent Mode that was announced a few months ago. Furthermore, at Microsoft Build yesterday, they revealed how it's being integrated directly into GitHub while adding support for the Model Context Protocol across all their products, including Windows 11, paving the path to facilitate artificial intelligence with full control over operating systems.
This presents a massive opportunity for developers and hackers alike. For any company aiming to win the AI race, earning the hearts and minds of developers is crucial, as per a recent study by Anthropic indicating that the majority of people who actively use and pay for LLMs are programmers. OpenAI has been falling behind recently when it comes to attracting programmers; nevertheless, to reverse this trend, they’ve secured a large deal by acquiring Windsor for $3 billion—a fork of VS Code modified to operate as an AI-generating tool. The timing is quite amusing because if they had waited just a few days, they could have saved $3 billion by utilizing the now-open-source Copilot instead.
Fireship speculates that Microsoft’s decision to open-source Copilot was not an impulsive move aimed at harming Sam Altman. Virtually every open-source effort made by Microsoft has turned out well. VS Code and TypeScript dominate the web development ecosystem, the Windows Subsystem for Linux has made Windows a viable option for developers, and they even open-sourced their old MS-DOS code last year. However, this move is a bit unusual since Copilot was a paid service costing up to $390 a year. One might wonder if this means it will be completely free now. The answer is no, it will not be. When paying for Copilot, users primarily cover the cloud computing costs to generate their actual code, not the underlying software of Copilot. Theoretically, by open-sourcing it, Copilot should improve and deliver new features faster, easing the burden on Microsoft employees. It’s a win-win situation, allowing developers to monetize their projects or build extensions that assist others, something not possible on closed-source platforms like Cursor and Windsurf. Plus, open-sourcing brings better transparency and quicker patching for security vulnerabilities. Fireship concludes that this is a big win for Microsoft, with significant rewards for those savvy enough to code and leverage AI to enhance productivity tenfold.
In stark reminder, it’s important to consider that 80,000 hours represent a significant segment of one’s career. That’s 40 hours a week for 50 weeks a year over 40 years, providing ample time to make a difference in the world. 80,000 Hours, the sponsor of this video, can help individuals navigate this journey. For the younger generation, the advice has often circled around following your passion or doing what you love; however, these clichés aren’t necessarily rooted in evidence. In contrast, the organization 80,000 Hours has spent the past decade researching how to find a fulfilling career that also makes a positive impact. Their completely free website offers a wealth of collected research focused on high-impact careers, along with job boards, podcasts, and more—making it an invaluable resource for anyone looking to embark on a high-impact career or make a mid-career transition. Signing up for their newsletter provides access to a free in-depth career guide, helping steer life directions. Fireship rounded up by thanking viewers for watching and inviting them back for the next episode, and at the time of writing, the video has gained immense popularity, boasting over 1,295,622 views and 44,030 likes.
Toggle timeline summary
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Microsoft open-sources GitHub Copilot, a pivotal AI coding tool.
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Copilot is now free and open-source under the MIT license.
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Microsoft also open-sources the Windows Subsystem for Linux, enhancing developer accessibility.
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Startups have profited from creating AI-based tools for programming.
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The video discusses why Microsoft would make its valuable co-pilot available for free.
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Microsoft ended its exclusive deal with OpenAI, which raises questions about their partnership.
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Microsoft integrates AI tools directly into GitHub and Windows 11.
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Winning the developer community is vital for any company in the AI space.
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OpenAI struggles to engage programmers, prompting a recent acquisition.
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Microsoft's decision to open-source Copilot comes after competing acquisitions.
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Questions arise about whether Copilot will remain a paid service.
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Open-sourcing may lead to quicker updates and improvements for Copilot.
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The announcement presents opportunities for developers leveraging AI.
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80,000 Hours promotes impactful career choices through research.
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80,000 Hours offers free resources for high-impact career guidance.
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The video concludes, inviting viewers to explore these resources further.
Transcription
Microsoft just gave Vibe engineers a huge win out of nowhere. Minutes ago, they open-sourced the tool that originally started the AI coding bubble, GitHub Copilot. As of today, it's officially free and open-source software under the MIT license, meaning you can fork it, modify it, and even build your own billion-dollar competitor without going to prison. And on top of that, they also open-sourced the Windows Subsystem for Linux, or WSL. That's a big deal, because for the last year or two, one of the hottest grifts in Silicon Valley has been the promise of an AI-powered junior engineer, or shovels that can turn any rando on the street into a skilled programmer. Startups have raised millions of dollars by simply forking VS Code and duct-taping some LLMs to it, like Cursor is now valued at $9 billion, while Windsurf was recently acquired by OpenAI for $3 billion. There are some good up-and-coming open-source alternatives, like the Void Editor, but VS Code is on another level, and has been the undisputed king of code editors for nearly a decade. In today's video, we'll find out why Microsoft would just give you the code to its extremely valuable co-pilot. It is May 20th, 2025, and you're watching The Code Report. The timing for this announcement is interesting to say the least, because OpenAI and Microsoft used to be rock-solid partners. They used to have an exclusive deal to train their models on Azure, but Microsoft recently ended that deal. Then, just a few days ago, OpenAI announced Codex, which is a cloud-based coding agent that can generate an ungodly amount of bugs in parallel. But it's a product very similar to GitHub Agent Mode, which was just announced a few months ago. Then yesterday at Microsoft Build, they announced how it's being integrated directly into GitHub, while also adding support for the Model Context Protocol to all their products, including Windows 11, paving the way to give artificial intelligence full control over your operating system. That's a huge opportunity for developers and hackers alike, and it's essential for any company that wants to win the AI race to win the hearts and minds of developers, because according to Anthropic's recent study, the vast majority of people who use and pay for LLMs unironically are programmers. OpenAI has been lagging behind with programmers recently, but to change that, they recently locked in a massive deal by acquiring Windsor for $3 billion, which again is a VS Code fork modified to be an AI-slop-o-matic. The timing is really funny, because had they just waited a few days, they could have saved those $3 billion and just used the now-open-source copilot. But I don't think Microsoft open-source copilot just opponed Sam Altman. Virtually every open-source play made by Microsoft has worked out really well. VS Code and TypeScript dominate the web dev ecosystem, the Windows subsystem for Linux made Windows a viable platform for all developers, and they even open-sourced their old MS-DOS code last year. But this is a bit unusual, because copilot is a paid product costing as much as $390 per year. And you might be wondering, does that mean it'll be totally free now? And the answer is no, no it does not. When you pay for copilot, you're mostly paying for the cloud computing cost to generate your actual code, not the underlying software of copilot itself. In theory, by open-sourcing it, copilot should improve and ship features faster, without the need to pay Microsoft employees. You may have heard that Microsoft just laid off 6,000 people, including many veteran engineers, so they could really use the extra help. But it's a win-win for everybody, because you could use their code to monetize your own thing, or extend it in ways that help other developers, and that's just not possible on closed-source platforms like Cursor and Windsurf. Not to mention, you get better transparency and quicker fixes for security vulnerabilities. I'd say this is a big win for Microsoft, and there'll be big rewards for those who can actually code while leveraging AI to become 10x more productive. But you have 80,000 hours in your career. 40 hours a week, 50 weeks a year, for 40 years. That's a lot of time to make a positive impact on the world. And 80,000 hours, the sponsor of today's video, can help you do that. If you're young, you've probably heard advice like follow your passion, do what you love, and take the initiative. But these cliches are not based on evidence or data. Unlike the work of 80,000 Hours, which is a non-profit that for the last 10 years has been researching the question of how do you find a fulfilling career that does good, too. Their website, which is entirely free, has tons of collected research on high-impact careers, along with job boards, podcasts, and a lot more. It's an incredible resource for anyone looking to start a high-impact career, or make a switch mid-career. Join the newsletter today to get a free copy of their in-depth career guide sent to your inbox. And remember, it's totally free because it's a non-profit, and could be the catalyst that changes your direction in life. This has been The Code Report. Thanks for watching, and I will see you in the next one.