Particle.news
Download on the App Store

Cursor to Acquire Graphite to Build End‑to‑End AI Developer Platform

The cash‑plus‑equity deal links Cursor’s code generation to Graphite’s review workflows to address the AI‑era bottleneck in code review.

Overview

  • The companies signed a definitive agreement with closing expected in the coming weeks and financial terms undisclosed beyond a cash‑and‑equity mix.
  • Graphite will continue as an independent product and brand for now, with the full team set to join Cursor at closing.
  • Leaders say the combined offering connects code writing to review and merge queues, with 2026 plans for smarter, context‑aware reviews and tighter links from local development to pull requests.
  • Graphite cites enterprise users such as Shopify, Snowflake, and Figma, while Cursor points to large deployments like Salesforce, which it says saw a 30% engineering productivity uplift.
  • Cursor reports rapid growth with a $29.3 billion valuation and $1 billion in annualized revenue, and it uses foundation models such as Anthropic’s Claude in a competitive AI‑coding market.