Anysphere, the developer of the AI-powered code editor Cursor, has been approached by investors proposing a new funding round that would value the startup at $18bn to $20bn, Bloomberg reported citing a source.

The offer comes just weeks after the company, launched in 2023, surpassed $500m in annualised revenue.

The person, who requested anonymity due to the private nature of the information, told the publication that Anysphere did not initiate these discussions and may opt not to raise funds at this stage.

Anysphere CEO Michael Truell in a message to Bloomberg said: “We have not engaged with or spoken with any investors about financing since our Series C.  

“We’re not focused on fundraising and have lots to do on building the technology, product, and team. Cursor can be made much more useful, and we’re spending time on that.”

Earlier in June 2025, Anysphere raised $900m at a $9.9bn valuation in a round led by Thrive Capital, with participation from Andreessen Horowitz, Accel, and DST Global.

Despite not needing additional capital, the company could consider the new offer due to its favourable terms, the reported noted.

Cursor’s tools enable non-technical users to create computer programmes through a process known as vibe coding, while also enhancing efficiency for experienced software developers.

The tool has gained traction, with more than half of Fortune 500 companies, including OpenAI, Spotify, Major League Baseball, and Instacart, using the service.

More than one million people use Cursor daily, Truell recently told Bloomberg.

Anysphere faces competition from tools such as GitHub Copilot and Amazon CodeWhisperer.

Additionally, rival AI code editor Windsurf is reportedly in talks to be acquired by OpenAI for $3bn, although the deal remains unconfirmed, reported the news agency.