Continue vs Cursor: pricing, features and which to choose

Continue is an open source coding agent project for editors, terminals, and pull requests. Founded by Ty Dunn and Nate Sesti, it launched in 2023 and entered Y Combinator’s Summer 2023 batch. It began with VS Code and JetBrains extensions, then added a command line interface and repository based agents. Continue’s homepage says it joined Cursor, while the open source codebase remains freely available. A June 2026 report described the hosted product as wound down, with users given until July 15, 2026 to export data. That change matters because Continue is no longer best understood as an independent vendor with a stable commercial roadmap. It is better viewed as an Apache 2.0 codebase and technology handoff for teams willing to manage configuration, providers, permissions, and ongoing operation themselves.

A typical workflow begins with installing the VS Code or JetBrains extension, choosing model providers, and assigning roles for chat, edit, apply, autocomplete, embeddings, and reranking. Developers can add repository rules, context providers, prompts, tools, and markdown agent files. The CLI runs an agent locally with a command such as cn --agent. GitHub Actions can discover agent files, run them in parallel, write job summaries, and create separate Check runs. Agents can read files and run commands, so the documented workflow recommends scoped GitHub permissions, secret based API keys, local testing, and review before enabling write actions. This makes Continue useful for teams that want repository controlled instructions and pull request checks, but less suitable for buyers seeking managed agents with little configuration or operational responsibility.

Continue offers more provider control than GitHub Copilot and keeps agent definitions close to repository code. Cursor is the closest commercial comparison and now owns Continue, while Claude Code is a stronger terminal first alternative with a more defined product identity. Gemini CLI offers another terminal workflow, and Goose targets configurable open source agents. Continue’s acquisition makes independent direction and hosted availability uncertain, and its agents can read files and run commands, requiring permission review and human checking. Pick Continue if Apache 2.0 code, local models, provider choice, repository based agents, and source controlled GitHub workflows matter more than a supported standalone subscription. Choose Cursor instead for a commercial integrated editor, or Claude Code for a clearer terminal first product with less emphasis on maintaining the surrounding codebase.

Cursor is an AI-native code editor and coding-agent platform created by Anysphere, founded in 2022 and publicly launched in 2023, before SpaceX completed its acquisition on August 14, 2026. Built from VS Code, it preserves familiar extensions, themes, and keybindings while adding semantic codebase search, natural-language editing, multi-file work, browser testing, pull-request support, Bugbot reviews, and local or cloud agents. Cursor 2.0 introduced Composer in October 2025, while Cursor 3 added multi-repository workspaces and agent handoffs in April 2026. Plans range from Free to Plus at $8 monthly or $80 annually, Premium at $30 or $300, Super at $100 or $1,000, and Ultra at $200 or $2,000; third-party models cost extra. It suits developers wanting integrated AI automation, though usage pools, cloud dependence, and pricing complexity reward careful teams.

A typical Cursor session begins by mapping a repository rather than guessing at isolated files. Semantic search, codebase chat, file navigation, go-to-definition, and full language-server support help developers understand unfamiliar systems, while the integrated browser lets them inspect local sites. From there, the agent can apply natural-language edits, predict follow-up actions, change multiple files, and coordinate work across repositories. Cursor 3 adds a multi-repository workspace, local-to-cloud handoff, and agents launched from mobile, web, desktop, Slack, or Linear. The review loop stays inspectable: developers examine diffs, run checks, use browser-generated demos, and request Bugbot reviews on eligible plans. Origin handles hosting and pull requests, while Rollouts monitors deployments and can propose a revert pull request without merging or rolling back autonomously.

Cursor’s main weakness is metered, fragmented usage. Paid subscriptions share a weekly allowance across Cursor and Grok, while third-party models draw from separate prepaid credit and can add API-list costs. The $8 monthly Plus plan, or $80 annually, is especially restricted: it excludes Auto, Cloud Agents, Automations, Bugbot, Origin, third-party models, and personal API keys. Higher tiers include those capabilities, but usage still requires monitoring, and provider-specific retention rules may apply even with Privacy Mode, particularly during abuse investigations or when using personal API keys. Cursor is also a proprietary product, with execution sometimes cloud-dependent. Zed suits developers prioritizing an open-source native editor and human collaboration; GitHub Copilot fits established GitHub workflows; Replit better serves browser-based building and deployment. Choose Cursor for repository-aware editing and coordinated agents.