Cursor Acquires Graphite to Build Next-Gen AI Coding Platform

Anysphere, the company behind AI coding assistant Cursor, has agreed to acquire Graphite, a popular AI-powered code review startup, in a deal that aims to create an end-to-end developer platform for the AI era.

This comes after Anysphere's $2.3 billion late-stage funding round, which pushed its valuation to $29.3 billion.

The agreement, announced December 19, 2025, will combine Cursor’s AI coding capabilities with Graphite’s advanced review and merge tooling. Graphite will continue operating as an independent product while gaining access to additional resources to accelerate its roadmap.

Graphite’s co-founders said the acquisition aligns both companies’ vision of transforming software development workflows. Graphite CEO Merrill Lutsky said the pair “have an almost identical vision for what the future of software development looks like” and expects the combination to help build an “end-to-end platform for building with AI.”

"We chose to join forces with Cursor because of the opportunity to create something phenomenal together: the end-to-end platform for building with AI. We’ve long dreamed of connecting the surfaces where we create, collaborate on, and validate code changes, and this deal dramatically accelerates the timeline on which we can make that a reality," Lutsky wrote in a blog post.

Founded nearly five years ago, Graphite’s code review platform is used by engineers at companies such as Shopify, Snowflake and Figma.

It focuses on reviewing, summarising and merging code changes — a critical step amid the rise of AI-generated code. The startup raised $52 million in a Series B round earlier in 2025 and has rapidly expanded its user base across hundreds of tech organisations.

This acquisition will allow tighter integration between code generation and review, with plans to connect local development, background agents and pull requests more seamlessly over the coming months.

Both companies say the deal will unlock smarter, more context-aware workflows that speed up engineering productivity. The transaction is expected to close in the coming weeks, subject to customary conditions