Cursor is preparing to raise over $2 billion at a valuation of $50 billion amid revenue growth.

Cursor, an AI startup for programming, is completing a new funding round that could raise over $2 billion at a valuation of $50 billion. The leading investors will be Thrive, Andreessen Horowitz, and Battery Ventures, while NVIDIA may become a strategic investor.

The startup Cursor, which develops AI-based solutions for programming, is close to completing a new funding round that could raise over $2 billion. The company's valuation is expected to reach $50 billion before the introduction of new capital, as confirmed by sources familiar with the negotiations.

In this round, the main investors will be previous partners of Cursor, such as Thrive and Andreessen Horowitz, as well as a new participant, Battery Ventures. Additionally, a strategic investment from NVIDIA is being considered. Despite the high interest in the deal, terms may be subject to revision before finalization.

Cursor is demonstrating significant revenue growth despite strong competition from Anthropic with its Claude Code product and OpenAI with the updated Codex. It is projected that by 2026, the company's annual turnover will exceed $6 billion, suggesting a tripling of revenues over the next year.

The company has also achieved positive gross margins on sales for large clients, but continues to face losses from individual developers. Transitioning to its own Composer model and more cost-effective solutions, including the Kimi model from China, will help Cursor restore financial stability and reduce dependence on external suppliers.