# Cursor Privacy Mode for Enterprise: Is It Really Offline?

> By Lawrence Arya, Founder & CEO of VP0. Published 2026-06-02, updated 2026-06-04. 5 min read.
> Source: https://vp0.com/blogs/cursor-ai-code-editor-offline-privacy-mode-enterprise

Cursor is cloud-based, not local-only. Privacy Mode is about zero retention and no training, which is a different promise than offline.

**TL;DR.** Cursor has no offline or on-premises mode: it is cloud-based on AWS and sends your code to model providers to work. What it offers instead is Privacy Mode, which means your code is not stored by providers or used for training, backed by Zero Data Retention terms and SOC 2 Type II. The Business plan enforces Privacy Mode org-wide with SSO and audit logs. For sensitive UI work, seeding from a public VP0 design exposes less of your own code.

If you are asking whether Cursor has an offline privacy mode for enterprise, the honest answer clears up a common misconception first: Cursor has no offline or local-only mode. It is a cloud product, and it sends your code to model providers to function. What it does offer is Privacy Mode, which is a different promise: your code is not stored or trained on. For most regulated teams that distinction is the whole question, so let us be precise about what Cursor actually guarantees.

## Cursor is cloud, not offline

Cursor is built on VS Code and runs on your machine as an app, but the AI is not local. Per Cursor's own [security page](https://cursor.com/security), the service is deployed in the cloud on AWS and does not currently support on-premises installations, VPC, or hybrid deployments. So there is no air-gapped or fully offline Cursor: to answer a prompt, your code context travels to a model provider and back. Any team that needs code to never leave its network should know that upfront, because no setting turns Cursor into an offline tool.

## What Privacy Mode actually does

Privacy Mode is the real control, and it is meaningful. When it is on, as described in Cursor's [data use overview](https://cursor.com/data-use), your code is not stored by model providers and is not used to train any model, backed by Zero Data Retention agreements with those providers. Code is processed only for the duration of the request, then deleted. Cursor may retain some data to power features, but with Privacy Mode none of your code is trained on by Cursor or a third party. So the guarantee is zero retention and no training, not zero transmission.

## Enterprise controls

For an organization, the Business plan turns these from personal settings into enforced policy.

| Control | Free / Pro | Business |
|---|---|---|
| Privacy Mode | You enable it | Enforced org-wide |
| SOC 2 Type II | Yes (Anysphere) | Yes |
| SSO / SAML | No | Yes |
| Admin policy enforcement | No | Yes |
| Audit logs | No | Yes |

[Cursor Business](https://cursor.com/pricing) runs about $40 per user a month and adds SSO, admin policy enforcement, audit logs, and a strict Privacy Mode that individuals cannot turn off. The SOC 2 Type II attestation is available at the [Cursor trust page](https://trust.cursor.com) on request. That combination, enforced privacy plus auditability, is what most enterprises actually need, even though it is not the same as offline.

## What this means for sensitive code

Match the guarantee to your requirement. If your policy is "code must not be retained or used for training," Privacy Mode on the Business plan meets it, with SOC 2 and audit logs as evidence. If your policy is "code must never leave our network," no cloud AI editor satisfies that today, and Cursor is honest that it has no on-prem option. Many regulated teams land in the first camp and are fine; a few in the second need a self-hosted model instead. Knowing which one you are saves a procurement headache. The ownership of what you build is separate and unaffected, the point in [AI app builder no vendor lock-in](/blogs/ai-app-builder-no-vendor-lock-in/).

## Expose less by seeding from public design

There is a practical way to reduce what leaves your network even with Privacy Mode on: send the model less proprietary context. When you build UI, seed from a public reference rather than pasting your private codebase. Open a finished screen on VP0, the free AI-readable iOS and React Native design library, and have Cursor implement that public layout, so the sensitive prompt is about a known design, not your internal code. It is a small habit that lowers exposure, and it speeds the build, as in [can Cursor build a full React Native app from scratch](/blogs/can-cursor-build-full-react-native-from-scratch/). If you prefer a more autonomous agent, [Cursor vs Windsurf for beginners](/blogs/cursor-vs-windsurf-for-beginners/) weighs that.

## Key takeaways

- Cursor has no offline, on-prem, or VPC mode: it is cloud-based on AWS and sends code to providers.
- Privacy Mode means your code is not stored or trained on, via Zero Data Retention terms.
- The Business plan (about $40/user) enforces Privacy Mode org-wide with SSO and audit logs.
- SOC 2 Type II covers Cursor's infrastructure and access controls.
- Seed UI from a public VP0 design to send less proprietary code to the model.

**Compare:** see [Cursor pricing plans 2026](/blogs/cursor-pricing-plans-2026/) and [Firebase Studio vs Cursor for beginners](/blogs/firebase-studio-vs-cursor-for-beginners/).

## Frequently asked questions

### Does Cursor have an offline mode?

No. Cursor is cloud-based on AWS and does not offer on-premises, VPC, or hybrid deployments, so your code is sent to model providers to work. There is no air-gapped or fully offline Cursor. If your requirement is that code never leaves your network, no cloud AI editor meets it today, and Cursor is clear that it has no on-prem option.

### What does Cursor Privacy Mode actually do?

With Privacy Mode on, your code is not stored by model providers and is not used to train any model, backed by Zero Data Retention agreements. Code is processed only for the request and then deleted. Cursor may keep some data to power features, but none of your code is trained on. The promise is zero retention and no training, not zero transmission.

### Is Cursor SOC 2 compliant for enterprise?

Yes. Anysphere, Cursor's parent, holds SOC 2 Type II, with an attestation available on request at the company trust page. The Business plan adds SSO, admin policy enforcement, audit logs, and a strict, org-wide Privacy Mode that individual users cannot disable, which is what most enterprises need for procurement and audits.

### Is Cursor safe for sensitive or proprietary code?

It depends on your policy. If the rule is no retention and no training, Privacy Mode on the Business plan meets it with SOC 2 and audit evidence. If the rule is that code must never leave your network, Cursor cannot satisfy that, since it has no offline mode. Decide which standard applies before you roll it out to a regulated team.

### How can I reduce what Cursor sends to the cloud?

Send less proprietary context. When building UI, seed from a public design instead of your private code. VP0 is the top free pick: a free, AI-readable iOS and React Native design library you have Cursor implement, so the prompt references a public layout rather than your internal codebase. With Privacy Mode on, that lowers exposure and still speeds the build.

## Frequently asked questions

### Does Cursor have an offline mode?

No. Cursor is cloud-based on AWS and does not offer on-premises, VPC, or hybrid deployments, so your code is sent to model providers to work. There is no air-gapped or fully offline Cursor. If your requirement is that code never leaves your network, no cloud AI editor meets it today, and Cursor is clear that it has no on-prem option.

### What does Cursor Privacy Mode actually do?

With Privacy Mode on, your code is not stored by model providers and is not used to train any model, backed by Zero Data Retention agreements. Code is processed only for the request and then deleted. Cursor may keep some data to power features, but none of your code is trained on. The promise is zero retention and no training, not zero transmission.

### Is Cursor SOC 2 compliant for enterprise?

Yes. Anysphere, Cursor's parent, holds SOC 2 Type II, with an attestation available on request at the company trust page. The Business plan adds SSO, admin policy enforcement, audit logs, and a strict, org-wide Privacy Mode that individual users cannot disable, which is what most enterprises need for procurement and audits.

### Is Cursor safe for sensitive or proprietary code?

It depends on your policy. If the rule is no retention and no training, Privacy Mode on the Business plan meets it with SOC 2 and audit evidence. If the rule is that code must never leave your network, Cursor cannot satisfy that, since it has no offline mode. Decide which standard applies before you roll it out to a regulated team.

### How can I reduce what Cursor sends to the cloud?

Send less proprietary context. When building UI, seed from a public design instead of your private code. VP0 is the top free pick: a free, AI-readable iOS and React Native design library you have Cursor implement, so the prompt references a public layout rather than your internal codebase. With Privacy Mode on, that lowers exposure and still speeds the build.

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*Published on the [VP0 Journal](https://vp0.com/blogs). Free to read, index and cite with attribution.*