Last Updated: December 19, 2025, | Tested on v1.0.4 (Windows & Mac)
In this comprehensive Trae IDE review, we analyze if the current market leader is in trouble. For the last year, Cursor AI has sat comfortably on the throne of AI code editors, charging a premium $20/month for its magic. But in the world of software, when a King gets too comfortable, a challenger appears to undercut them.
Enter Trae IDE. Quietly launched by ByteDance (the parent company of TikTok), this new editor is aggressively targeting SMB developers with a proposition that sounds too good to be true: Half the price of Cursor, with similar “Agentic” powers.
Is this the budget savior that bootstrapped founders have been waiting for? Or is it a Trojan Horse for your code’s privacy?
After putting Trae through 50+ “Builder Mode” sessions and benchmarking it against our standard SMB development workflows, our investigation reveals a mixed bag. While Trae offers incredible value for $10/month, there is a significant “Privacy Tax” and some misleading “Free” claims that you need to be aware of before migrating your codebase.
Trae IDE Review: What is it & The “ByteDance” Factor
Trae is a fork of VS Code, meaning if you know how to use VS Code or Cursor, you already know how to use Trae. All your favorite extensions work out of the box.
Its standout feature is the “Builder Mode”, which is a direct competitor to Cursor’s Composer or Windsurf’s Cascade. It allows you to describe a full feature in plain English, and the AI plans and executes the code changes across multiple files.
The Key Difference: Trae uses a “Think-before-doing” approach. Unlike Cursor which sometimes rushes into coding, Trae’s Builder Mode generates a step-by-step plan that you can review before a single line of code is written. This tends to reduce hallucinations, though it feels slightly slower in execution.
Pricing Investigation: Is “Free” Really Unlimited?
You may have seen influencers claiming Trae is “Unlimited Free.” This is false.
Our deep dive into their official documentation…
Our deep dive into their official documentation and usage limits reveals a strict cap that most “hype” reviews miss.
| Plan Tier | The Real Limits (Verified Dec 2025) |
|---|---|
| Free Tier | Premium Models (GPT-4o/Claude 3.5):
Standard Models: Capped at 1,000 requests/mo. |
| Pro Plan ($10/mo) | Price: $10/month (Aggressive 50% undercutting of Cursor). Limits: 600 Fast Premium Requests + Unlimited Slow Requests. Feature: Unlimited Context for Builder Mode. |
The Trap: The 10 “Fast Requests” on the free tier will run out in about 30 minutes of serious coding. Do not expect to build a full SaaS on the free plan.
The Benchmark Battle: Trae vs. Cursor vs. Windsurf
“Price is one thing, but performance pays the rent. For this Trae IDE review, we analyzed how Trae stacks up against the market leaders in terms of Agentic Capability (SWE-bench proxy) and daily Speed.”
| Feature | Trae IDE | Cursor AI | Windsurf |
|---|---|---|---|
| Agentic Logic | High (Plan-First approach reduces errors) | High (Composer is aggressive but fast) | Medium (Cascade focuses on Context) |
| Tab Autocomplete | Slower (Noticeable latency) | Instant (Copilot++ is superior) | Fast (Codeium engine) |
| Multi-File Edits | Good (Builder Mode) | Excellent | Best (Cascade Flow) |
| Privacy & Trust | Low (ByteDance Ownership) | SOC 2 Compliant | High |
🕵️ Analyst’s Note: The Privacy Elephant in the Room
We cannot review Trae without addressing the ownership. Trae is a ByteDance product.
While the UI is slick and the price is unbeatable, many Western developers and enterprises have strict policies against using software from this vendor due to data residency concerns.
Community Sentiment: On Reddit (r/LocalLLaMA) and Hacker News, the consensus is clear: “Great for hobby projects, banned for work.” Even with telemetry disabled, the “Terms of Service” regarding data usage for model training remains ambiguous compared to Cursor’s “Private Mode”.
Pros & Cons (Based on Real User Feedback)
✅ PROS (The Good Stuff)
- Unbeatable Price: At $10/month (and sometimes $3 promo), it is the most accessible AI editor.
- Native Windows Support: Unlike some competitors that launched Mac-only, Trae supports Windows users from day one.
- Smart Planning: The “Builder Mode” creates a plan before coding, which helps juniors understand the logic.
❌ CONS (The Dealbreakers)
- Data Privacy: The ByteDance connection is a non-starter for many corporate environments.
- Free Tier Limits: The “10 Fast Requests” limit is very restrictive compared to what marketing implies.
- Slower UX: The “Jump-to-Edit” (Tab completion) feels slightly more sluggish than Cursor’s instant prediction.
🏁 The SMB Verdict: Trae IDE Review
7.8/10“The Best Budget AI Editor… If You Can Ignore the Privacy Risk.”
👍 Best For:
- Students & Hobbyists
- Bootstrapped Solopreneurs
- Open Source Contributors
🚫 Not For:
- Enterprise Teams
- Government Contractors
- High-IP Sensitivity Projects
Strategic Advice: Use Trae to learn and build side projects cheaply. Stick to Cursor or VS Code + DeepSeek for professional work.
FAQ: Common Questions in this Trae IDE Review
Is Trae completely free?
No. While it has a free tier, it is limited to about 10 “Fast” premium requests per month. To get functional daily usage, you need the Pro plan ($10/mo).
Can I use my VS Code extensions?
Yes. Trae is a fork of VS Code, so you can import your entire extension library and settings with one click during setup.
Does it support Claude 3.5 Sonnet?
Yes, Trae gives you access to Claude 3.5 Sonnet and GPT-4o natively within the chat and builder interface.
Who owns Trae IDE?
Trae is developed by ByteDance, the Chinese technology company that also owns TikTok. This is a crucial consideration for data compliance.
💬 Join the Discussion
After reading this Trae IDE Review, would you switch to Trae to save $10/month, or is the privacy risk a dealbreaker for you? Let us know in the comments below!
- Pricing and limits verified via official Trae.ai Documentation (Retrieved Dec 19, 2025).
- Community sentiment analysis sourced from Reddit (r/LocalLLaMA) and Hacker News threads.
- Performance benchmarks conducted on Windows 11 and macOS Sequoia using standard React/Node.js boilerplate generation tasks.
About the Author
Founder & Editor-in-Chief, MyAIVerdict.com
I am a tech educator and developer passionate about simplifying complex AI tools for small businesses.
I approach every software review with a teacher’s mindset: strict grading, clear explanations, and zero fluff.
Disclosure: This review adheres to MyAIVerdict’s strict editorial integrity policy. No payment was accepted for this rating.