---
id: "entity-cursor-d5"
type: "entity"
entityType: "product"
canonicalName: "Cursor"
aliases: []
source_timestamps: ["¶9"]
tags: ["developer-tools", "ai", "competitor"]
related: ["entity-github-copilot", "concept-business-model-portfolio"]
sources: ["commercial"]
sourceVaultSlug: "hbr-seg-commercial"
originDay: 5
articleStem: "hbr-tier2-09-customer-workarounds"
sourceUrl: "https://hbr.org/2026/05/what-customer-workarounds-can-reveal-about-your-business-model"
sourceTitle: "What Customer Workarounds Can Reveal About Your Business Model"
---
# Cursor

An AI code editor that successfully capitalized on the [[concept-business-model-void]] left by [[entity-github-copilot-d5]]. By **pairing a subscription with usage-based pricing that scaled with consumption**, Cursor reached roughly **$500 million in annualized revenue by mid-2025** — charging a premium to the exact developers Copilot was already serving.

Cursor exemplifies the winning move: build a [[concept-business-model-portfolio]] (subscription + usage) that matches how customers actually consume value, and enter the void before the incumbent formalizes it.

**Related:** [[entity-github-copilot-d5]] · [[concept-business-model-portfolio]] · [[quote-right-number-of-models]]