Anysphere, the startup behind the fast-growing AI coding tool, Cursor, has reportedly secured a massive $900 million in fresh capital, propelling its valuation to an eye-popping $9 billion. The round is being led by Thrive Capital, with continued backing from Andreessen Horowitz (a16z) and Accel, according to sources cited by The Financial Times.
This new funding marks a dramatic leap from its last round just a few months ago. In December, Anysphere raised $105 million—also led by Thrive and a16z—at a valuation of $2.5 billion. Now, in what appears to be a fierce show of investor confidence, the company has more than tripled its valuation, underscoring the rising demand for AI-powered coding tools in the software development world.
Anysphere has now raised more than $1 billion in total, according to Crunchbase, making it one of the most heavily funded startups in the generative AI coding space. Its flagship product, Cursor, has rapidly gained popularity among developers for offering a seamless way to write, edit, and troubleshoot code using natural language commands.
The startup’s existing investors, including Benchmark and Index Ventures, are reportedly eager to double down. With funding rounds this competitive, new backers are struggling to get in as top-tier VCs crowd the cap table.
Investor interest in the AI coding space is heating up across the board. Windsurf, one of Cursor’s closest competitors, was recently in talks to raise funds at a $3 billion valuation. OpenAI—already an investor in Anysphere—was even exploring an acquisition of Windsurf, further highlighting the strategic importance of AI copilots for developers.
Anysphere’s meteoric rise places it at the forefront of this evolving market, where speed, efficiency, and developer trust are key differentiators. As startups, cloud platforms, and enterprises race to adopt generative AI coding tools, Cursor’s strong momentum positions it as one of the category leaders.
