Latest news with #MichaelTruell
Entrepreneur
2 days ago
- Business
- Entrepreneur
Why AI Startup Anysphere Is the Fastest-Growing Startup Ever
Anysphere is the startup behind Cursor, a popular AI coding assistant now used by more than half of Fortune 500 companies. The AI boom has led to fast-growing startups like OpenAI, which raised a record $40 billion at a $300 billion valuation in April, and Perplexity, which processed 780 million user queries last month. However, investors claim that no AI startup has grown as rapidly as Anysphere, the three-year-old company behind popular AI coding assistant Cursor. In January, Anysphere became the fastest-growing company to hit $100 million in annual revenue, reaching the milestone in 14 months. Cloud security company Wiz, which hit $100 million in revenue in 18 months, held the previous record. Anysphere is the fastest-growing startup of all time, according to its investors. In the past few months, the startup has kept growing at a rapid pace. Anysphere announced on Thursday that it had exceeded $500 million in annual revenue and raised $900 million. More than a million people use its technology every day, the company stated. The new funding round gives Anysphere a $9.9 billion valuation. The startup's previous valuation was $2.5 billion in January, per Bloomberg. Related: This AI Startup Spent $0 on Marketing. Its Revenue Just Hit $200 Million in March. So what's the secret behind Anysphere's growth? Anysphere CEO Michael Truell told Bloomberg this week that it boils down to "the value" that the company offers. Since its launch, Anysphere's Cursor AI tool has become popular for its ability to finish lines of code and generate new code based on prompts. Cursor also acts like a spell check for code, automatically correcting errors so that developers save time. It can explain technical concepts and make recommendations to improve code quality. "I think a lot of the excitement comes from the value that this tech is giving to developers," Truell told Bloomberg. Cursor is one tool developers are using to "vibe code," or to prompt AI into writing code instead of writing it out manually. Google CEO Sundar Pichai said earlier this week that he used Cursor to help "vibe code" a webpage. Related: 'The Coolest Piece of Technology the World Has Ever Seen': OpenAI Is Acquiring Former Apple Designer Jony Ive's Startup for $6.4 Billion Anysphere makes most of its revenue from Cursor subscriptions, which range from $20 a month for a pro account to $40 per user per month for a business account. Cursor also has a free tier, which includes a two-week trial of its pro plan and up to 200 code completions a month. Paying individuals made up most of Anysphere's revenue until recently, when the balance shifted to businesses. Late last year, the startup hired its first salespeople to market its technology to enterprises, and the effort has paid off. More than half of Fortune 500 companies are now using Cursor in some capacity, according to Bloomberg. Cursor isn't the only coding assistant available, competing with billion-dollar startup Replit and the $3 billion startup Windsurf, but it differentiates itself from competitors with its familiar appearance. Cursor resembles Microsoft's code editor, Visual Studio Code, which is used by approximately three out of four developers worldwide. Related: 'Building It Ourselves': Morgan Stanley Created an AI Tool to Fix the Most Annoying Part of Coding. Here's How It Works. With the $900 million it has raised, Anysphere wants to keep improving Cursor and bringing value to its customers. "We want to be the ones pushing the frontier," Truell told Bloomberg.
Bloomberg
2 days ago
- Business
- Bloomberg
Anysphere CEO on Cursor Being Valued at $9.9 Billion
Anysphere, the company behind AI coding assistant Cursor, has raised its valuation to $9.9 billion, as some call the three-year-old startup the fastest-growing software company. Michael Truell, CEO of Anysphere, joins Caroline Hyde and Ed Ludlow on 'Bloomberg Technology.' (Source: Bloomberg)
Yahoo
2 days ago
- Business
- Yahoo
Anysphere secures $900m funding
Anysphere, the developer of AI coding assistant Cursor, has closed a $900m funding round. Thrive Capital, an OpenAI backer, led the investment. The funding will primarily be used for research and development, focusing on enhancing Anysphere's AI models. Additionally, the company plans to expand its team, which has grown from 60 to more than 100 employees since April 2025. The funding round saw participation from several institutional investors, including Andreessen Horowitz, Accel, and DST Global. With this investment, Bloomberg reports that Anysphere's valuation has reached $9.9bn, nearly quadrupling since its previous funding round in December 2024. This marks Anysphere's third fundraising event in less than a year. Founded in 2023, Anysphere's Cursor features an AI-powered code editor that analyses programmer actions and suggests additional code lines. It also includes a chatbot for code-related queries. The service operates on a subscription model, offering individual and business accounts at $20 and $40, respectively. Anysphere's revenue is largely driven by these subscriptions. However, the company has recently intensified its enterprise sales efforts, resulting in businesses becoming a significant portion of its revenue. Anysphere CEO Michael Truell noted that more than half of Fortune 500 companies now utilise Cursor, reported the media outlet. Truell stated, "I think a lot of the excitement comes from the value that this tech is giving to developers." Cursor has been integrated into daily routines at companies such as OpenAI, Spotify Technology, Major League Baseball, and Instacart. More than one million people use Cursor daily, according to Anysphere, according to the report. CNBC reported in April 2025 that OpenAI had expressed interest in Anysphere last year. "Anysphere secures $900m funding" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-05-2025
- Business
- Yahoo
The CEO behind the AI tool Cursor says he used to hire too slowly — and focus too much on brand-name schools
"Many people you hear hired too fast. I think we actually hired too slow," said Michael Truell, CEO and cofounder of Anysphere. Lenny's Podcast/YouTube Anysphere CEO Michael Truell said he took his time while hiring. "Many people you hear hired too fast. I think we actually hired too slow," he said. He also said he relied too heavily on conventional markers of talent like brand-name schools. Michael Truell said he made several early hiring mistakes at Anysphere. The CEO and cofounder of the startup behind Cursor, an AI-powered coding tool, said the team initially fussed over hiring in the hopes of assembling a high-performing team. "We tried to be incredibly patient on the hiring front," Truell said in an episode of Lenny's Podcast that aired Thursday. The goal was to build a world-class group of engineers and researchers — "a certain mix of intellectual curiosity and experimentation," he added. But looking back, Truell said they may have been too patient. "Many people you hear hired too fast. I think we actually hired too slow," he added. The San Francisco-based company is one of the leaders in vibe coding, or the practice of using AI to generate code quickly and build software. It has closed a new round of funding that more than triples its valuation to about $9 billion, the Financial Times reported on Sunday. OpenAI backer Thrive Capital led the round, with Andreessen Horowitz and Accel among the other investors, per the FT. The startup has been doubling its valuation every eight weeks since August, per PitchBook. Truell partnered with MIT classmates Sualeh Asif, Arvid Lunnemark, and Aman Sanger to start building Anysphere in 2022, according to TechCrunch. Cursor is Anysphere's first product. Truell said another one of his early hiring missteps was relying too heavily on conventional markers of talent, such as brand-name schools. The hiring team leaned toward people who fit the archetype of "well-known school, very young, had done the things that were high credential," Truell said. But the hires who stood out — and stuck around — didn't always fit that mold. Some were later in their careers or looked "slightly different from being straight out of central casting," he added. Truell said his early hiring lessons were "hard-won." It took time to refine what "greatness" looked like, how to spot it, and how to persuade someone to come on board. "We kind of spent a bunch of time on the wrong profile," he said. "We were lucky early on to find fantastic people willing to do this with us, who were later-careered." Read the original article on Business Insider
Business Insider
06-05-2025
- Business
- Business Insider
The CEO behind the AI tool Cursor says he used to hire too slowly — and focus too much on brand-name schools
Michael Truell said he made several early hiring mistakes at Anysphere. The CEO and cofounder of the startup behind Cursor, an AI-powered coding tool, said the team initially fussed over hiring in hopes of assembling a high-performing team. "We tried to be incredibly patient on the hiring front," Truell said in an episode of Lenny's Podcast that aired Thursday. The goal was to build a world-class group of engineers and researchers — "a certain mix of intellectual curiosity and experimentation," he added. But looking back, Truell said they may have been too patient. "Many people you hear hired too fast. I think we actually hired too slow," he added. The San Francisco-based company has closed a new round of funding that more than triples its valuation to about $9 billion, the Financial Times reported on Sunday. OpenAI backer Thrive Capital led the round, with Andreessen Horowitz and Accel among the other investors, per the FT. The startup has been doubling its valuation every eight weeks since August, per PitchBook. Truell partnered with MIT classmates Sualeh Asif, Arvid Lunnemark, and Aman Sanger to start building Anysphere in 2022, according to TechCrunch. Cursor is Anysphere's first product. Truell said another one of his early hiring missteps was relying too heavily on conventional markers of talent, such as brand-name schools. The hiring team leaned toward people who fit the archetype of "well-known school, very young, had done the things that were high credential," Truell said. But the hires who stood out — and stuck around — didn't always fit that mold. Some were later in their careers or looked "slightly different from being straight out of central casting," he added. Truell said his early hiring lessons were "hard-won." It took time to refine what "greatness" looked like, how to spot it, and how to persuade someone to come on board. "We kind of spent a bunch of time on the wrong profile," he said. "We were lucky early on to find fantastic people willing to do this with us, who were later-careered."
