How to Use Amp Code Agent in Your Terminal

Amp is an agentic coding tool from the former Sourcegraph team that runs in your terminal, VS Code, or JetBrains IDE, and it costs money from day one because there is no free tier.

That last point is the whole argument. Amp’s designers decided a free plan would push them toward a weak model and a crippled experience, so they charge from the first token. Plans start around $10 per month and scale with usage, which means your bill depends on how much you let the agent run.

What is Amp and who makes it?

Amp comes from Ampcode, built by engineers who previously worked on Sourcegraph and at Google. It is deliberately opinionated: terminal-first, frontier models only, no manual model switching. The agent decides when to edit files, run shell commands, and search the repo.

How do you install and start Amp?

Install the CLI, authenticate, then run it inside a project directory:

npm install -g @sourcegraph/amp
amp login
cd ~/projects/my-app
amp

Extensions exist for VS Code and JetBrains if you prefer the editor, but the terminal is the main path. Within a minute or two of first use you will see the agent proposing file edits and waiting for approval.

How does Amp pricing actually work?

Plan	Cost	Notes
Free	Not available	No free tier at all
Entry	From ~$10/mo	Usage-based on top
Team	Higher	Shared rules and context

Costs track the models and tool calls the agent uses. A heavy afternoon of multi-file refactoring can cost more than the base subscription. There is no way to force a cheaper model, which is intentional and also the most common complaint.

What is Amp good at?

• Command-line refactors across many files, driven by one plain-English request.
• Repository chores such as dependency bumps and lint fixes.
• Preparing a branch for review by running tests and summarising failures.
• Navigating unfamiliar legacy code with guided questions.

It is weakest for people who want a cheap autocomplete. If your work is mostly tab-completion in an editor, Amp is an expensive way to get it.

How do you keep Amp costs under control?

Scope each request tightly, review the plan before approving multi-file edits, and avoid leaving long-running agent sessions open while you think. Because billing is usage-based, an agent that keeps retrying a failing command is an agent that keeps spending. Watching the first month’s invoice is the only honest way to calibrate.

Key Takeaways

• Amp is a terminal-first coding agent with no free tier.
• Plans start near $10/mo plus usage-based charges.
• Model routing is automatic; you cannot pick a cheap model.
• Best for shell-centric developers who value opinionated defaults.