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everyone's using the same model, but then you build the agent on top
differentiationtechnical_architecturecompetitive_advantage

What It Means

While AI coding tools may use identical base models, their value and performance differences come from the agent systems that orchestrate tool usage

Why It Matters

Explains why tools using the same AI models can have dramatically different outcomes and user experiences

When It's True

When comparing AI development tools that appear similar on the surface but deliver different results

When It's Risky

When base model quality is the primary limitation rather than orchestration and tooling

How to Apply

1

Evaluate tools based on actual output quality, not just underlying models

2

Focus on integration quality and workflow efficiency

3

Test real-world scenarios rather than relying on model benchmarks

4

Consider the sophistication of tool orchestration and context management

Example Scenario

A developer chooses Cursor over Claude Code despite both using Claude 3.5, because Cursor's agent provides better file context management and code editing capabilities

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