AI startup Cursor in talks to raise $2 billion funding round at valuation of over $50 billion

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AI startup Cursor in talks to raise  billion funding round at valuation of over  billion

The Cursor logo arranged on a smartphone in New Hyde Park, New York, Nov. 20, 2025.

Gabby Jones | Bloomberg | Getty Images

Artificial intelligence startup Cursor is in talks to raise a $2 billion fundraising round at an over $50 billion valuation, which does not include the investment, a source familiar with the matter told CNBC.

Andreessen Horowitz is slated to co-lead the new investment round, in which Nvidia and Thrive Capital are also expected to participate, said the source, who was not authorized to publicly speak on the investment. Those three firms have all previously backed the AI coding startup.

Bloomberg News first reported that Cursor was raising capital.

The funding round underscores the venture capital industry’s enthusiasm for startups specializing in AI coding agents that can complete a range of software development tasks for users. Although Cursor was among the first major startups to focus on AI coding agents, other companies, such as Google, Anthropic and OpenAI, have since debuted similar tools.

Cursor announced in November that it closed a $2.3 billion funding round at a $29.3 billion post-money valuation. That financing came after a $900 million investment round in June.

Among Cursor’s current investors are Accel, DST Global, Coatue and Google, according to a corporate blog post.

The startup released in February various updates intended to help software developers, including giving AI agents the ability to test their coding changes and record their actions via videos, logs and screenshots.

Cursor did not immediately reply to a request for comment.

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