Cursor continues to get things with the Graphite deal

AI code provider Cursor has announced that it has acquired Graphite, a startup that uses AI to analyze and guide code.

Although the deal was not disclosed, Axios reported that Cursor paid “more than” Graphite’s final price of $290 million, which was established when the five-year-old company raised $52 million Series B earlier this year.

Binding creates wisdom. AI-generated code generation is often simplistic, forcing engineers to spend more time for repairs. Even Cursor provides AI code analysis through its own Bugbot tool, a special Graphite tool provides a feature known as a “pull request,” which allows developers to work on multiple dependent changes at the same time without waiting for approval.

Combining AI-powered code and AI-powered code review tools accelerates the process from code generation to deployment.

Other startups that offer AI-powered code reviews include CodeRabbit, priced at $550 million in September, with a smaller competitor, Greptile, who announced a $25 million Series A this fall.

Michael Truell, founder and CEO of Cursor, first met with the founders of Graphite, Merrill Lutsky, Greg Foster, and Tomas Reimers, before launching the company as Neo Scholar, a popular college student program run by NeoAli Partovi’s early stage venture firm. Neo supported Graphite in the seed segment, according to PitchBook data.

In addition, Cursor and Graphite have other investors in common, including Accel and Andreessen Horowitz.

A pointer, which was last set to its value $29 billion in the month of November, it has been going well. Last month, it bought Growth by Designa professional recruitment company. In July, Cursor acquired talent from AI-powered CRM startup Koala for a net worth of $129 million, according to PitchBook.