Startups providing AI-powered coding tools are striking a positive chord with investors. Cursor, one of the most popular tools in the segment, has attracted $900 million in a fresh round of funding led by Thrive Capital, as per a report from the Financial Times.
The FT noted that other top venture firms such as Andreessen Horowitz (a16z) and Accel are participating in the round that would value Anysphere, the company behind Cursor, at $9 billion.
Earlier this year, Cursor raised $105 million from Thrive and a16z at a $2.5 billion valuation, as previously reported by TechCrunch.
Other AI-powered coding startups are also attracting investor interest. In February, TechCrunch reported that Windsurf was in discussions about raising a round at a $3 billion valuation. Last month, reports of OpenAI trying to acquire the startup at the same value also emerged.
