01What OpenCode Is and How It Works

OpenCode is a free, open source AI coding agent that lives on your computer. You talk to it through a chat box, and it can read files, edit files, run commands, plan changes, fix bugs, and even write entire applications. It started as a terminal tool, but now it has a real desktop app that makes it feel like paid tools like Cursor or Claude Code.

OpenCode works with many AI models. You can use the free models bundled with it or plug in your own API keys from providers like Anthropic, OpenAI, Google, Mistral, or NVIDIA. Your code never gets stored on their servers, so your data stays private.

This makes it a great choice if you work with client information or sensitive business data.

02Main Features of OpenCode's New Desktop App

The new desktop app is the headline feature of version 1.14.35. It gives you a proper chat window with a clean layout: your projects on the left, chat in the middle, and file changes on the right. It looks and feels like the paid tools that cost $20 to $200 per month, but it is completely free.

  • Better project handling – OpenCode now detects git repos, bare repos, and work trees. You point it at a folder, and it figures out the structure on its own.
  • Session compaction – When your chat gets long, OpenCode keeps the most recent messages word for word and summarizes older ones. This helps the AI remember context without forgetting earlier parts of the conversation.
  • New model support – It now supports Mistral Small with high reasoning, NVIDIA as a built-in provider, and GPT 5.5 with proper context limits. Mistral Medium 3.5 with reasoning is also rolling in.
  • Small but important fixes – Shell mode now works properly for editing, LSP prompts show exact file locations, UTF-8 file headers stay safe during edits, and Windows installs are more reliable.

03How to Set Up OpenCode

Setting up OpenCode is quick and does not require a credit card or subscription. Follow these steps to get started:

  1. Go to opencode.ai/download and pick the desktop beta for your computer – Mac, Windows, or Linux. Install it like any other program. If you prefer the terminal, you can use a one-line install command from the same site.
  2. Open the app. It will ask you to choose a model. You can pick the free models bundled with OpenCode or plug in an API key from a provider you already have, such as Anthropic, OpenAI, Google, Mistral, or NVIDIA.
  3. Select a project folder. The app will scan your files and set up a session. You can then start chatting with the AI about your project.
  4. Pick your agent mode. Build mode can edit and run commands. Plan mode only reads your files, so you can plan a big change and review it before the AI touches any code. Use Plan mode as a safety net.
  5. Run a simple test. Ask OpenCode to read your files and explain what your project does. If you like the result, ask it to add something small, like a button or a new page. Watch how it works, then keep building.

04How to Use OpenCode with Examples from the Episode

In this episode, Julian Goldie showed several real-world examples of using OpenCode. For instance, if you run a coaching business, you can ask OpenCode to “build me a clean landing page that explains my AI coaching service.” In about two minutes, you have a working page without hiring a developer or using a paid tool.

Another example: you can build a tool that takes a fresh lead, sends a welcome email, drops the lead into a spreadsheet, and books a call. You describe what you want in plain words, and OpenCode writes the code, wires everything together, and tests it. Or you can build a simple internal dashboard that shows how many leads came in each week and from which source.

To get the best results, create a file named agents.md inside your project folder. Write rules for the AI, like your brand voice, color palette, and coding style. Every new session reads that file, so the AI knows your preferences before you say a single word.

Use the @ symbol to mention specific files, like “look at homepage.html and add a sign up form.” The AI will know exactly which file to edit.

05Results and Comparisons from the Episode

Julian Goldie compared OpenCode directly to paid tools like Cursor, Claude Code, and GitHub Copilot. He noted that Cursor has the best in-editor experience, Claude Code has top-tier models built in, and Copilot is great if you already live in VS Code. However, none of those let you swap models freely, none are free out of the box, and none are open source.

OpenCode, on the other hand, gives you full control. You can plug in any model you want, host it yourself, and tweak the agent down to the smallest setting. Your data stays on your own machine.

Julian pointed out that OpenCode now has over 150,000 stars on GitHub, 850 contributors, and 6.5 million developers using it every month. This scale shows that it is not a small project but a major open source AI tool.

06Tips, Limits, and Mistakes to Avoid

One pro tip shared in the episode is to use slash commands. Type #compact to trim your session when it gets long, and #help to see everything you can do. The @ symbol lets you mention files directly, so you can say “look at index.ts and fix the bug” and the AI knows which file you mean.

OpenCode also supports MCP servers, which let you plug in extra tools like Google search, Slack messaging, or database queries. However, be careful: MCP servers can blow up your context. Pick only the ones you really need, not all at once.

Avoid asking OpenCode to work on too many unrelated tasks in a single session. Keep each session focused on one project or goal to avoid confusing the AI and losing context.

Another limit: while OpenCode is free, you may need your own API key if you want to use a paid model like GPT. The free bundled models work well for many tasks, but complex projects may benefit from a more powerful model. Start with the free models to test the tool before spending any money.

07Who OpenCode Is For and Why It Matters

OpenCode is for small business owners, freelancers, and anyone who wants to ship software without a big budget or a developer team. It matters because it removes the cost barrier to AI coding. Julian Goldie explained that locking everything behind paid plans keeps many people out – people who just want to test ideas, build quick tools, or try AI without a monthly bill.

OpenCode flips that by being free and open source.

If you are a small business owner and you just want to ship stuff fast without a giant tool stack or a paid plan you forget to cancel, OpenCode is one of the best picks right now. The skill is not coding anymore; the skill is knowing what you want and being able to describe it clearly. With OpenCode, you can build custom landing pages, lead capture systems, internal dashboards, and client tools in an afternoon instead of a week.

This is the real shift: software is no longer something you buy from someone else – it is something you describe, and the AI builds it for your exact business and your exact customers.

08Community Add-Ons and Extensions for OpenCode

Because OpenCode is open source, the community has built powerful add-ons around it. One project called OpenGUI by AK Emmanuel adds a full desktop app with prompt queues, session forking (so you can branch a chat and try two ideas at once), and session revert (Control+Z to undo a whole AI exchange). Another project, Palette, offers multi-project support, flash commands, and a wizard that converts chats from Cursor and Claude Code so you do not lose your history when you switch.

There is also OpenDispatch, which lets you control OpenCode from Slack or Microsoft Teams. You can start a coding job on your laptop, leave the house, and keep guiding it from your phone while the AI keeps working. These add-ons show how fast the community builds useful tools around a strong open source project.

They add features like prompt queues, session migration, and remote control that make OpenCode even more flexible for daily use.