Terminal Use (YC W26) – Vercel for filesystem-based agents

Hello Hacker News! We're Filip, Stavros, and Vivek from Terminal Use (https://www.terminaluse.com/). We built Terminal Use to make it easier to deploy agents that work in a sandboxed environment and need filesystems to do work. This includes coding agents, research agents, document processing agents, and internal tools that read and write files.Here's a demo: https://www.youtube.com/watch?v=ttMl96l9xPA.Our biggest pain point with hosting agents was that you'd need to stitch together multiple pieces: packaging your agent, running it in a sandbox, streaming messages back to users, persisting state across turns, and managing getting files to and from the agent workspace.We wanted something like Cog from Replicate, but for agents: a simple way to package agent code from a repo and serve it behind a clean API/SDK. We wanted to provide a protocol to communicate with your agent, but not constraint the agent logic or harness itself.On Terminal Use, you package your agent from a repo with a config.yaml and Dockerfile, then deploy it with our CLI. You define the logic of three endpoints (on_create, on_event, and on_cancel) which track the lifecycle of a task (conversation). The config.yaml contains details about resources, build context, etc.Out of the box, we support Claude Agent SDK and Codex SDK agents. By support, we mean that we have an adapter that converts from the SDK message types to ours. If you'd like to use your own custom harness, you can convert and send messages with our types (Vercel AI SDK v6 compatible). For the frontend, we have a Vercel AI SDK provider that lets you use your agent with Vercel's AI SDK, and have a messages module so that you don't have to manage streaming and persistence yourself.The part we think is most different is storage.We treat filesystems as first-class primitives, separate from the lifecycle of a task. That means you can persist a workspace across turns, share it betw

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FL score

62

out of 100

Verdict

VALIDATE

high confidence

Competition

23

competitors found, emerging market, funded players

Trend

6 community mentions

A Vercel-like platform for deploying stateful, filesystem-based AI agents, targeting a niche but growing developer pain point.

The pain

Developers building AI agents struggle with stitching together complex infrastructure for packaging, sandboxing, streaming messages, persisting state across turns, and managing file systems. Existing PaaS solutions often cause state loss (Heroku) or have opaque/limited offerings (Render), failing to provide a seamless 'Vercel-like' experience for agents.

The gap

While many PaaS and dev environment tools exist (Vercel, Render, Heroku, GitHub Codespaces, Replit), none explicitly optimize for 'filesystem-based agents' with first-class, persistent workspace primitives. The niche of managing agent state and file interactions across task lifecycles is underserved, and existing solutions have user complaints regarding state loss, pricing, and support.

Build angle

Build a platform that simplifies packaging and deploying AI agents from a repo (Docker/config.yaml), offering a sandboxed environment where filesystems are first-class primitives. Crucially, allow workspaces to persist state across agent 'turns' or conversations, integrating with common AI SDKs (like Claude/Codex) and providing an API/SDK for communication and frontend integration (Vercel AI SDK compatible).

Strengths

  • Addresses a real and specific pain point for developers building AI agents.
  • The market for AI agents is rapidly growing, creating increasing demand for specialized deployment tools.
  • Clear willingness to pay signals from developers needing reliable infrastructure.
  • The 'filesystem-as-first-class' and 'persistent state across turns' angle provides a unique selling proposition.
  • Leverages modern cloud-native deployment patterns (Docker, API/SDK).

Risks

  • High complexity for a solo builder, requiring deep expertise in cloud infrastructure, containerization, and agent orchestration.
  • Crowded competitive landscape in the broader PaaS and developer tools space, even if the niche is specific.
  • Reliance on developer adoption for a new platform, which can be slow and requires significant trust/marketing.
  • Ensuring 'Vercel-like' simplicity while handling complex state and filesystem management is a significant technical challenge.
  • The exact size of the 'filesystem-based agents' niche needs further validation to ensure sufficient market potential for a standalone SaaS.

Next steps

  1. Conduct in-depth interviews with 20+ developers currently building AI agents to validate the severity and scale of the 'filesystem-based' pain.
  2. Create a targeted landing page describing the unique value proposition (persistent workspaces for AI agents) and gather email sign-ups/interest for early access.
  3. Develop a hyper-focused MVP for a *single type* of filesystem-based agent (e.g., Python coding agents with specific libraries) to quickly get it into users' hands and gather feedback.
  4. Explore partnerships or integrations with popular AI agent frameworks/SDKs to simplify initial adoption and reach.

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