AI coding assistant Cursor has acquired Graphite, a startup focused on AI for code review and debugging. The financial details remain undisclosed, but Axios claims Cursor paid significantly more than Graphite's last valuation of $290 million, set during its $52 million Series B funding earlier this year. This acquisition combines Cursor's AI code generation with Graphite's unique “stacked pull request” feature, allowing developers to handle multiple related changes at once, streamlining the transition from writing code to deploying it. Cursor's CEO, Michael Truell, has a history with Graphite, meeting its co-founders while participating in Neo Scholar, a program backed by Ali Partovi’s venture firm. Both companies share investors, including Accel and Andreessen Horowitz, which could facilitate further collaboration. Cursor’s aggressive acquisition strategy has included recent purchases, such as Growth by Design and talent from AI-powered CRM startup Koala, reflecting its ambition in the AI coding space. The competitive landscape for AI code review tools is heating up. Other players include CodeRabbit, valued at $550 million, and Greptile, which recently raised $25 million in Series A funding. This acquisition not only enhances Cursor's offerings but also positions it to better compete against these emerging rivals.