Cursor Raises $2 Billion at $50 Billion Valuation
Cursor (Anysphere) is in talks to raise at least $2 billion at a $50 billion valuation, co-led by Andreessen Horowitz, Thrive Capital, and Nvidia. This comes just five months after reaching a $29.3 billion valuation.
The AI coding startup has experienced phenomenal growth, scaling from zero to $2 billion Annual Recurring Revenue (ARR) in three years—the fastest B2B software scaling on record. With over 1 million paying customers and 70% of the Fortune 1,000 as clients, Cursor faces stiff competition from GitHub Copilot, Claude Code, and Windsurf.
Funding Trajectory:
Cursor’s fundraising journey has been remarkable:
- Series A (Aug 2024): $400 million valuation.
- Series B (Nov 2024): $2.6 billion valuation.
- Series C (May 2025): $9 billion valuation.
- Series D (Nov 2025): $29.3 billion valuation, bringing in new investors Coatue, Nvidia, and Google.
- Current Round: Targeting $2 billion at a $50 billion valuation.
What Cursor Does:
Cursor is an AI-powered code editor built on top of Microsoft’s Visual Studio Code, the most popular code editor globally. It offers:
- Autocompletion of code.
- Suggestions for changes.