Cursor has reportedly surpassed $2B in annualized revenue

In Brief

The AI coding adjunct Cursor has surpassed $2 billion successful annualized revenue, a metric calculated by multiplying the latest month’s gross by 12, according to a Bloomberg source. This idiosyncratic says the four-year-old startup saw its gross tally complaint treble implicit the past 3 months.

The disclosure appears timed to antagonistic a caller question of skepticism. Last week, tweets went viral questioning whether Cursor’s momentum was stalling, citing high-profile defections by idiosyncratic developers to competing tools — peculiarly Anthropic’s Claude Code.

Founded successful 2022, Cursor initially sold its merchandise chiefly to idiosyncratic developers. Over the past year, however, it has focused much connected landing ample firm buyers, which present relationship for astir 60% of revenue, according to Bloomberg.

While immoderate idiosyncratic developers and smaller startups person switched from Cursor to Claude Code, which is seen arsenic much competitively priced, that attrition seems to higher-spending firm customers who thin to instrumentality astir longer.

Beyond Claude Code, OpenAI’s coding instrumentality Codex is besides competing for stock successful the rapidly increasing marketplace for AI-assisted bundle development. Other startups successful the abstraction see Replit, Cognition, and Lovable.

Cursor was past valued astatine $29.3 billion erstwhile it raised a $2.3 cardinal backing circular co-led by Accel and Coatue successful November.

Cursor did not instantly respond to our petition for comment.

Subscribe for the industry’s biggest tech news