Overview

It is a fork of VS Code, so extensions, keybindings and settings carry over on day one. What the fork adds is a tab model that predicts your next edit rather than your next token, an agent that plans across files and runs terminal commands, plus background agents that keep working while you do something else. Composer is Cursor's own model family, tuned for that specific loop rather than for chat.

For teams the relevant tier is Teams at $40 per user per month, which brings SOC 2 Type II, SSO, audit logs, admin policy enforcement and a privacy mode that stops code being stored on Cursor's servers. Bugbot is a separate purchase and does a different job: it reviews pull requests once they reach source control, where the in-editor agent review looks at local changes before they leave your machine. Enterprise adds pooled usage across seats, which is the only sane way to buy this if you have three people running agents constantly and twelve who barely touch them.

Two honest warnings. Credit accounting is the single biggest source of user complaint and the rules have changed several times in eighteen months, so budget with a real overage buffer rather than the headline $20. And on genuinely large repositories Cursor is slower than plain VS Code. Teams doing mostly terminal-driven work will get less out of it than teams who live inside an editor all day.

Key Features

✓ Composer 2.5, an in-house agent model shipped 18 May 2026, priced around $0.50 per million input tokens

✓ Tab model that predicts the next edit across a file rather than completing the current line

✓ Background agents that keep working on tasks outside the active editing session

✓ Bugbot, a pull request reviewer that runs after changes land in source control

✓ SOC 2 Type II, SSO, audit logs and a strict privacy mode that keeps code off Cursor's servers, from Teams upward

✓ Multi-model picker covering frontier models alongside the in-house Composer family

My Take

Two model releases in two months tells you where the money is going: Composer 2 landed 19 March 2026 and Composer 2.5 on 18 May. The in-house models matter because they are cheap enough to run all day at roughly $0.50 per million input tokens, and because Composer 2 was built on a Kimi K2.5 base, which is a quietly interesting admission about where good open base models come from now. The editing loop itself is the best in the category. Billing is the weak point: Cursor Router replaced Auto mode on 22 July 2026 and split it into three tiers that meter very differently, and a Max mode refactor across a big repo can drain a month of Pro credits before lunch.