That happens when you don't talk to enough users, build the wrong things, and then iterate like a good startup. It compounds
Building a chat platform in an IDE with CRDTs...? That screams we are more interested in the solutions than the problems, and that they didn't appreciate network effect before attempting this
They are talking to their users, it's not those that use Zed it's the VC firm that funds them. They seem to be implementing everything those users want.
> They are talking to their users
If you only talk to the users you already have, you won't know what the users who don't use your product want. Many a project and company have peaked early for this very reason.