Coding assistant Cursor raises $2.3B 5 months after its previous round

Developer AI coding instrument Cursor continues to gobble up enterprise capital as its valuation retains climbing.

On Thursday, Cursor introduced a $2.3 billion funding spherical that valued the corporate at $29.3 billion, as initially reported by the Wall Road Journal. This spherical greater than doubles the corporate’s earlier valuation of $9.9 billion, which it achieved in its $900 million Collection C spherical in June.

This most up-to-date fundraise was led by co-led by Accel, an present investor, and Coatue, which is new to the cap desk. Strategic traders, together with Nvidia (an enterprise buyer) and Google (an AI mannequin provider), additionally joined the spherical.

Joshua Kushner’s Thrive Capital led the corporate’s prior two rounds and took part on this spherical as properly.

Cursor’s co-founder and CEO Michael Truell instructed the Wall Road Journal that the capital from the spherical shall be put towards growing Composer, an AI mannequin launched by Cursor in October.

Cursor nonetheless depends on outdoors AI fashions from corporations, together with Google, OpenAI, and Anthropic to energy its platform, however the plan is for Composer to hold a few of that load sooner or later.

Subsequent 12 months may very well be a really fascinating one for Cursor. Whereas the corporate continues to be seeing robust development, OpenAI and Anthropic are each sharpening their AI coding merchandise as the marketplace for AI growth instruments continues to get extra aggressive.