The artificial intelligence (AI) code-generation startup Cursor (officially Anysphere) has successfully closed a massive $2.3 billion Series D funding round, pushing its valuation to an estimated $29.3 billion. This financing round, which involved new strategic investors including semiconductor giant Nvidia and Google, alongside existing backers like Accel and Andreessen Horowitz, saw the company’s valuation nearly triple within months. This explosive capital injection highlights the massive and accelerating investor confidence in AI-powered developer tools, a sector seen as a major growth segment.
Cursor, founded in 2022, has built an AI-first coding environment and proprietary models designed to generate, explain, and modify code for software teams. The company has demonstrated exceptional growth, reporting that its annualized revenue has surpassed $1 billion and that its team has grown to over 300 people. Management plans to use the substantial capital to significantly increase investment in technical research, frontier model training (like its recently launched Composer agentic coding model), and security features for its rapidly expanding enterprise customer base.The high valuation and strategic backing from both hardware (Nvidia) and cloud (Google) powerhouses signals that AI development tools are quickly evolving from niche products into critical enterprise software infrastructure. Cursor claims its in-house models now generate more code than almost any other large language model, driving a fundamental shift in how modern software is produced and addressing the crucial need for engineering teams to ship software faster through automated, bug-reducing coding workflows.
 code-generation startup Cursor (officially Anysphere) has successfully closed a massive $2.3 billion Series D funding round, pushing its valuation to an estimated $29.3 billion.){kind=link}