Fundraising Fox

Cursor

Unicorn exit Β· $60Bacquired by SpaceX

20 known investors

cursor.com β†—

Acquired by SpaceX August 2026 Β· $60B ($60B all-stock (~391M SpaceX Class A shares)) Β· source β†—

Cursor is a code editor that enables teams to manage and distribute Model Context Protocol (MCP) servers and integrations through team marketplaces, with features for organization-level access control and cloud agent integration.

Also known as Anysphere Β· Anysphere Inc Β· Anysphere, Inc. Β· Cursor

AI & Machine LearningDeveloper ToolsSaaS

Founders & leadership

ALArvid Lunnemark
Arvid LunnemarkinCo-founder2022–2025Founder of Integrous Research; co-founder of Cursor30 Under 30 2025
MTMichael Truell
Michael Truellin𝕏Co-founder & CEO2022–2026Co-founder & CEO of Cursor
SA
Sualeh AsifCofounder30 Under 30 2025
AS
Aman SangerCofounder30 Under 30 2025
MT
Micheal TruellCofounder30 Under 30 2025

Investors Β· 20

Also in the syndicate Β· 4

Andreessen Horowitz (a16z)Arash FerdowsiGoogleNat Friedman

Funding

SEC filings, press & company announcements

Source: company announcements and press reports β€” follow each round's link for the claim.

Valuation Β· disclosed

Disclosed events
$29.3Bvaluation at Series DNov 2025
filing β†—
$29.3Bvaluation at Funding roundNov 2025
filing β†—
$9.9Bvaluation at Series CJun 2025
filing β†—
$400Mvaluation at Series AJan 2024
filing β†—

Source: SEC prospectus filings, and round valuations the company or its investors disclosed β€” follow each entry's link for the claim.

Company profile

researched Aug 2026

Cursor is an AI coding product built around agents that write, test, and review software. Its offering spans a desktop editor ("Cursor Desktop"), a command-line agent (Cursor CLI, installable via a shell script from cursor.com/install), a browser-based agent surface at cursor.com/agent, and integrations that let agents run in Slack, review pull requests in GitHub, and be triggered from tools such as Linear. Product capabilities described on the company's site include agent-driven feature planning and implementation, cloud agents that run on their own machines and produce end-to-end demos of completed work, and "Automations" β€” always-on agents that run on schedules or triggers to build, maintain, and fix software, with configurable tools and MCP connections.

The company positions itself as model-agnostic, letting users select among frontier models for a given task; model names shown in its interface demos include Grok 4.6, Opus 5, and GPT-5.6. Cursor's site also lists research and engineering work by year, including language model fine-tuning and fast inference optimization (2022), context-aware completions and intelligent code navigation (2023), shadow workspaces and multi-agent collaboration (2024), reinforcement learning (2025), and semantic search and secure codebase indexing (2026). In November 2025 the company introduced a proprietary model, Composer, and it also routes to lower-cost third-party models such as Kimi. Cursor publishes desktop builds for macOS (ARM64, x64, universal), Windows (x64 and ARM64, system and user installers), and Linux (.deb, RPM, AppImage), with version 3.17 listed as the latest release. It maintains a public GitHub repository (cursor/cursor) used for documentation, security policy, and issue templates, and runs a community forum and a free tutorial series, Cursor Learn, covering AI foundations and coding agents.

Founding story

Cursor, previously known as Anysphere, was co-founded in 2022 by Michael Truell, Sualeh Asif, Arvid Lunnemark, and Aman Sanger while they were students at MIT.

Business model

Cursor sells a paid AI coding product to individual developers and to enterprises; the company's site offers self-serve download and sign-up alongside a "Request a demo" enterprise motion. Reporting indicates the economics differ by segment: Cursor has reached positive gross margins on large-enterprise sales while continuing to lose money on individual developer accounts.

Paid software subscriptions/usage for the coding agent and editor, spanning individual developer accounts and enterprise deployments. Cursor Learn tutorials are offered without charge as a top-of-funnel resource.

Traction

Cursor reached $2 billion in annualized revenue in February 2026 (most recent month's sales annualized) and forecasts ending 2026 with an annualized run rate above $6 billion, implying at least a tripling over ten months. The company has moved from negative gross margins to slight gross-margin profitability, driven by its Composer model and cheaper third-party models, and is gross-margin positive on large-enterprise accounts. Its public GitHub repository has about 33,200 stars and 2,300 forks. Enterprise users cited publicly include NVIDIA and Stripe.

Latest developments

In April 2026, multiple outlets reported that Cursor was in talks to raise at least $2 billion at a valuation of $50 billion or more before the new money, with Andreessen Horowitz and Thrive Capital expected to lead or co-lead, Nvidia expected to participate, and Battery Ventures potentially joining as a new investor. The round was described as oversubscribed but with terms not final. Separately, Cursor released updates in February 2026 giving agents the ability to test their coding changes and record their actions via video, logs, and screenshots. The latest listed desktop release is version 3.17.

β–ΈFull profile β€” market position, technology, go-to-market, geography, history, risks & controversies

Market position

One of the earliest major startups focused on AI coding agents, now competing with tools from Anthropic (Claude Code, described in reporting as its main rival), OpenAI (revamped Codex), and Google. Cursor's reliance on third-party model providers creates supplier-competitor overlap, which the company is addressing by shifting workloads to its own models.

Model choice across multiple frontier providers rather than a single in-house model, combined with an in-house model (Composer) that improves unit economics; an "autonomy slider" spanning targeted Cmd+K edits to fully agentic execution; and presence across desktop, terminal, web, Slack, and GitHub surfaces rather than a single IDE.

Technology

AI coding agents layered over both third-party frontier models and Cursor's own Composer model, released in November 2025. Product and research areas listed by the company include codebase indexing and semantic search, context-aware completions, intelligent code navigation, shadow workspaces, multi-agent collaboration, reinforcement learning, inference optimization, and model fine-tuning. Agents support tool calling and Model Context Protocol (MCP) connections, run in cloud environments with their own compute, and can capture videos, logs, and screenshots of their actions to test their own coding changes.

Go-to-market

Product-led distribution via free download of the desktop app and a one-line CLI installer, combined with an enterprise sales motion ("Request a demo"). Adoption spreads inside organizations through developer word of mouth and through integrations with the tools engineering teams already use β€” terminals, IDEs, Slack, GitHub, and Linear. Public endorsements from executives at NVIDIA, Stripe, OpenAI, and Y Combinator are featured prominently on the homepage.

Professional software developers and engineering organizations, from individual developers to large enterprises. Cited users include NVIDIA (roughly 40,000 engineers assisted by AI, per its CEO) and Stripe (thousands of employees).

Geography

Not specified in the available sources; the company distributes software globally for macOS, Windows, and Linux, and a Cursor logo photo was taken in New Hyde Park, New York.

History

Founded in 2022 as Anysphere, the company shipped work on language model fine-tuning and inference optimization in its first year, followed by context-aware completions and code navigation (2023), shadow workspaces and multi-agent collaboration (2024), reinforcement learning (2025), and semantic search and secure codebase indexing (2026). It raised $900 million in June 2025 and announced a $2.3 billion round at a $29.3 billion post-money valuation in November 2025, the same month it launched its proprietary Composer model. In February 2026 it released updates letting AI agents test their own coding changes and record their actions. By April 2026 it was reported to be in talks for at least $2 billion more at a $50 billion pre-money valuation.

Risks & controversies

Cursor operated at negative gross margins until recently because third-party model inference cost more than it could charge, and it still loses money on individual developer accounts. It faces competition from the model providers it depends on β€” notably Anthropic, whose Claude Code is described as its main rival β€” creating supplier-substitution risk, as well as from OpenAI and Google. The reported April 2026 financing terms were not final and may change.

Compiled by commissioned research from 16 cited public sources β€” announcements, filings, and press listed under research sources below.

Key figures

latest reported
Acquisition valueAug 2026$60B
Annual recurring revenueMay 2026$3B
Annualized revenueNov 2025$1B
Annualized revenue run rateFeb 2026$2B
Daily active usersNov 20251,000,000 users
EmployeesJan 2025300 employees
Enterprise customersJan 202650,000 customers
Forecast annualized revenue run rate at end of 2026Apr 2026$6B
GitHub forks (cursor/cursor)Apr 20262,300 forks
GitHub stars (cursor/cursor)Apr 202633,200 stars
Latest desktop release versionApr 20263.17
Post-money valuationNov 2025$29.3B
Reported valuation in ongoing talks (pre-new-capital)Apr 2026$50B
Total capital raisedJan 2026$3.4B

Company-reported or press-reported figures, each dated to when it was claimed β€” not independently audited.

6 people who came through Cursor went on to found or lead other companies.

Competitors Β· 4

by search overlap

Companies competing with Cursor for the same Google search keywords, organic and paid, via search-intersection analysis.

Timeline Β· 21

launches, deals, and filings
Aug 2026
SpaceX acquisition of Anysphere closes

Anysphere common and preferred shares converted into an aggregate 389,289,254 shares of SpaceX Class A common stock (implied equity value $60 billion). Cursor survived as a wholly owned SpaceX subsidiary integrated into SpaceXAI.

$60B source β†—

Jun 2026
SpaceX announces $60B all-stock acquisition of Anysphere

SpaceX announced it was exercising its purchase right in an all-stock deal to buy Anysphere, valuing it at $60 billion and placing it under the SpaceXAI unit; expected to close in Q3 2026.

$60B source β†—

Apr 2026
SpaceX secures right to acquire Cursor

SpaceX announced a deal giving it the right to acquire the company for $60 billion later that year, or to pay $10 billion for joint work.

$60B source β†—

Apr 2026
In talks to raise $2B+ at a valuation above $50 billion

Reports said Cursor was in talks for at least $2 billion at a $50 billion-plus valuation excluding the new capital, with Andreessen Horowitz and Thrive expected to lead, Nvidia expected to participate, and Battery Ventures possibly joining as a new investor. The round was described as oversubscribed but terms were not final.

$2B source β†—

Feb 2026
Agent testing and action-recording updates

Cursor released updates giving AI agents the ability to test their coding changes and record their actions via videos, logs, and screenshots.

source β†—

Dec 2025
Agreement to acquire Graphite

Cursor agreed to acquire Graphite, a New York-based code-review startup with stacked pull request workflows, in a cash-and-equity deal reported to be well above Graphite's most recent $290 million valuation.

source β†—

Dec 2025
Debug Mode released

Integrates runtime logs with the agent system to help reproduce and fix difficult bugs.

source β†—

Nov 2025
$2.3B Series D at $29.3B valuation

Round co-led by Accel and Coatue Management with participation from Thrive Capital, DST Global, Google and Nvidia.

$2.3B source β†—

Nov 2025
$2.3 billion round closed at $29.3 billion post-money valuation

Cursor announced in November 2025 that it closed a $2.3 billion funding round at a $29.3 billion post-money valuation.

$2.3B source β†—

Nov 2025
Composer proprietary model introduced

Cursor introduced its own Composer model, which along with routing to lower-cost models such as Kimi helped the company reach slight gross margin profitability.

source β†—

Oct 2025
Co-founder Arvid Lunnemark departs

Co-founder Arvid Lunnemark left the company to found Integrous Research, a safety-focused AI research lab.

source β†—

Oct 2025
Cursor 2.0 released

Added support for running multiple agents in parallel using git worktrees or remote machines; one source cites up to eight parallel agents and a proprietary Composer mixture-of-experts model.

source β†—

Jul 2025
Acqui-hired engineering talent from Koala

Cursor hired top engineering talent from Koala, an AI-powered CRM startup, to staff a new enterprise-readiness team; Cursor did not adopt Koala's product and Koala subsequently shut down.

source β†—

Jul 2025
Travis McPeak hired to lead security

Cursor hired Travis McPeak, co-founder and CEO of cybersecurity startup Resourcely, to lead its security team.

source β†—

Jul 2025
Pro plan pricing change and rollback

A change to the $20 Pro plan from 500 requests to a usage-metered cap prompted complaints about unexpected charges; the company rolled back limits and promised refunds.

source β†—

Jul 2025
Bugbot launched

GitHub-integrated code-review tool that scans pull requests for errors introduced by AI-generated code; priced as a $40 per user per month add-on according to one source.

source β†—

Jun 2025
$900 million investment round

Cursor raised a $900 million investment round.

$900M source β†—

Apr 2025
Featured in Forbes AI 50

source β†—

Apr 2025
AI support agent fabricated login policy

An AI help-desk program named "Sam" invented a non-existent login policy, triggering user cancellations before staff intervened and issued refunds.

source β†—

Nov 2024
Acquired Supermaven

Cursor acquired Supermaven, an AI code-completion startup founded by Jacob Jackson, for an undisclosed sum. The team was folded into Cursor and Supermaven's standalone product was wound down in late 2025.

source β†—

Jan 2023
Cursor code editor launched

Cursor, an AI-first code editor built as a fork of Visual Studio Code, launched in 2023 (March 2023 per one source).

source β†—

Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.

In the news

β–ΈResearch sources Β· 16

primary sources listed

16 public sources were cited for this profile; the first-party ones are listed here.

Frequently asked questions

What does Cursor do?
Cursor (formerly Anysphere) makes an AI coding agent and editor for software development, used by individual developers and enterprises.
Who founded Cursor?
Cursor was founded by Arvid Lunnemark, Michael Truell.
Who are Cursor's investors?
Cursor's investors include Accel, Andreessen Horowitz, Aviso Ventures, BoxGroup, Coatue Management, CRV (Charles River Ventures), Dorm Room, Duke Capital Partners and 8 more.
Who acquired Cursor?
Cursor was acquired by SpaceX.