Enterprise Security Teams Block AI Coding Tools Over $25M Annual Cost and Governance Risks

Enterprise security teams block AI coding tools like Cursor due to $25 million annual costs and governance nightmares from uncontrolled local access to private repositories, while companies seek secure alternatives through controlled infrastructure solutions.

• Enterprise security teams are blocking AI coding tools like Cursor because they create governance nightmares when running on local laptops with unrestricted access to private repositories and APIs
• Uncontrolled AI agents running locally provide zero visibility into activities, no control over permissions, and result in unmanaged compute costs that can reach $25 million annually
• Coder provides self-hosted development environments that enable secure AI coding at enterprise scale through controlled infrastructure, standardized environments, and integration with existing security systems