Overview
Cursor is an AI-powered code editor built by Anysphere that integrates frontier language models directly into the development workflow. Forked from VS Code, it preserves the familiar extension ecosystem and keybindings while adding AI-native features like predictive Tab completions, multi-file agent editing, and autonomous background agents that run in cloud VMs.
With the release of Cursor 3, the editor has evolved into a unified workspace centered around AI agents, supporting parallel agent execution across local, cloud, and remote SSH environments. Developers can manage multiple coding agents side-by-side, hand off sessions between local and cloud, and trigger automations from Slack, GitHub, Linear, or PagerDuty.
Whether you're a solo developer looking for smarter autocomplete or a team managing complex multi-repo projects, Cursor positions itself as a complete AI development environment rather than a plugin bolted onto an existing editor.
Key Features
Tab Completion — Cursor's specialized Tab model predicts your next edit with striking speed and precision, completing functions, variable names, and common code patterns as you type to reduce repetitive editing.
Agent Mode (Composer) — Delegate multi-file editing tasks to Cursor's Composer model, which autonomously plans, executes, tests, and iterates across your codebase, handling complex refactoring and feature implementation end-to-end.
Background Agents — Launch coding tasks on cloud VMs that work asynchronously while you continue editing locally, creating separate branches and generating visual demos for verification when complete.
BugBot — An automated PR reviewer that analyzes code changes using the same AI models powering Cursor's agent, catching potential bugs, errors, and style issues directly on pull requests with detailed explanations and suggested fixes.
Design Mode — Annotate and target UI elements directly in an integrated browser, giving agents precise visual feedback to iterate on frontend changes faster than describing them in text.
Automations — Build always-on agents triggered by events from Slack, Linear, GitHub, PagerDuty, or webhooks, running on schedules or in response to specific triggers without manual intervention.
Pricing & Plans
Cursor now uses a two-pool usage model. Individual plans include generous Auto + Composer usage plus tier-specific included API usage. Official docs currently list Pro at $20/month with $20 included API usage, Pro+ at $60/month with $70 included API usage, Ultra at $200/month with $400 included API usage. On-demand billing applies after included usage is exhausted.
Hobby — Free
- Limited Agent requests per month
- Limited Tab completions
- No credit card required
Pro — $20/month ($16/month billed annually)
- Unlimited Tab completions
- $20/month credit pool for premium models
- Background agents access
- BugBot PR reviews
Pro+ — $60/month
- Everything in Pro
- $60/month credit pool (3x Pro usage)
Ultra — $200/month
- Everything in Pro
- 20x Pro usage
- Priority access to new features
Teams — $40/user/month
- All Pro features
- Centralized billing and SSO
- Admin controls and user management
Enterprise — Custom pricing
- Everything in Teams
- Pooled organization-wide usage
- Invoice billing and dedicated support
Best For
- Professional developers who write code daily and want a faster, AI-assisted editing workflow
- Solo developers and indie hackers building full-stack applications with agent-driven workflows
- Teams managing multi-repo projects that benefit from automated code review via BugBot
- Developers already using VS Code who want a seamless upgrade to AI-native editing
- Power users willing to invest in Pro+ or Ultra plans for heavy AI model usage
FAQ
Is Cursor free to use?
Yes, Cursor offers a free Hobby plan with limited Agent requests and Tab completions per month, no credit card required. For unlimited Tab completions and access to Cloud Agents, the Pro plan starts at $20/month, and yearly billing is available.
How does Cursor's credit system work?
Since June 2025, Cursor uses a credit-based billing system. Current pricing uses separate Auto + Composer and API usage pools. Auto is not described as unlimited in current docs; included API usage varies by tier, and on-demand billing applies after included usage is exhausted. Credits are only consumed when you manually select premium models like Claude or GPT, with different models depleting credits at different rates.
What AI models does Cursor support?
Cursor supports multiple frontier models including Anthropic Claude, OpenAI GPT, Google Gemini, and its own proprietary Composer model. The Composer model is specifically trained for coding tasks and powers Cursor's agent capabilities including background agents.
What is Cursor 3?
Cursor 3 (released April 2, 2026) is a major interface redesign that centers the editor around agent workflows. It introduces multi-agent management, local-to-cloud handoff, Design Mode for visual UI feedback, automations triggered by external services, and a new Agents Window accessible via Cmd+Shift+P.
How do background agents work?
Cloud agents run on isolated Ubuntu machines and can clone repositories from GitHub or GitLab. They work asynchronously on separate branches while you continue editing locally. When complete, they generate visual demos and screenshots for verification. Background agents have internet access and can install packages independently.
Can I use my VS Code extensions in Cursor?
Yes. Cursor is a fork of VS Code and supports the full VS Code extension ecosystem. You can import your existing settings, themes, keybindings, and extensions directly, making the transition from VS Code virtually seamless.
How does Claude Code compare to Cursor?
Claude Code is a terminal-based AI coding agent that runs entirely in the command line, while Cursor is a full IDE with a graphical interface. Cursor offers features like Tab completion, inline diffs, and Design Mode that require a visual editor. Claude Code excels at autonomous terminal workflows and deep codebase reasoning. Many developers use both tools for different tasks.
Is Cursor suitable for teams?
Yes. Cursor offers Teams ($40/user/month) and Enterprise (custom pricing) plans with centralized billing, SSO, admin controls, and pooled organization-wide usage. BugBot's automated PR reviews add value for team collaboration workflows.



