This comparison is part of our MCP comparisons, within The MCP Guide. Facts are checked against each vendor's own documentation and pricing pages on the date shown.
Pick Cursor if you want MCP built into a paid AI editor with an admin allowlist for commands, URLs and tools. Pick VS Code with GitHub Copilot if you want a free editor, MCP on Copilot's free tier, and organization policies managed through GitHub. Both connect to local and remote MCP servers, so the choice is mostly about cost, admin model and the AI plan you already pay for.
Checked against: Cursor's MCP docs and VS Code's MCP server docs on 28 October 2026. eSEOspace did not test either product.
Key Takeaways
- Both editors run local servers over stdio (a program on your computer) and remote servers over HTTP.
- Cursor's docs list support for tools, prompts, resources, roots, elicitation and MCP Apps; VS Code's MCP page covers tools, resources, prompts and MCP Apps (experimental).
- Cursor asks for approval before using MCP tools by default, and Teams admins can allowlist commands, URLs and individual tools.
- VS Code is free, and GitHub lists "Integrates with MCP servers" in agent mode on Copilot Free, Pro, Pro+ and Max.
- For Copilot Business and Enterprise members, GitHub's "MCP servers in Copilot" policy is disabled by default until an admin turns it on.
At a glance
| Item | Cursor | VS Code with GitHub Copilot |
|---|---|---|
| Maker | Anysphere, Inc. (acquired by SpaceX, August 2026) | Microsoft (editor) and GitHub (Copilot) |
| Local servers | stdio | stdio ("Command") |
| Remote servers | SSE and Streamable HTTP | HTTP or Server-Sent Events |
| MCP features named in docs | Tools, prompts, resources, roots, elicitation, MCP Apps | Tools, resources, prompts, MCP Apps (experimental), sampling settings |
| Config file | .cursor/mcp.json or ~/.cursor/mcp.json | .vscode/mcp.json or user-profile mcp.json (uses a servers key) |
| Remote sign-in | OAuth with PKCE, dynamic or static client ID | OAuth handled by VS Code |
| Default approval | Asks before using MCP tools | Trust prompts plus tool confirmations |
| Admin control | MCP allowlist for commands, URLs and tools | GitHub "MCP servers in Copilot" policy; enterprise allowlist |
| Server catalog | Cursor Marketplace, "Add to Cursor" | MCP server gallery (preview), GitHub MCP Registry (preview) |
| Entry price | Free $0; Plus $8/month | Editor free; Copilot Free $0; Pro $10/month |
Where Cursor is stronger
Protocol coverage in one place
Cursor's MCP docs list tools, prompts, resources, roots and elicitation, plus the MCP Apps extension. Elicitation lets a server ask you a question mid-task. Roots tell a server which folders it may work in. If you build servers and want to try these features, Cursor documents them on one page. Our explainers on elicitation and MCP Apps cover what each feature does.
A granular admin allowlist
Cursor's docs describe an MCP Allowlist that approves local commands and remote URLs. Tool allowlists then limit which tools run automatically. The docs add a useful caution: "Allowlisting approves an MCP configuration. It does not distribute or install the server." Each local server can also be set to Allow all, Allowlist, Deny all or No sandbox for network access.
One-click installs with OAuth
The Cursor Marketplace offers official plugins. The docs say to "Click 'Add to Cursor' on a marketplace entry to install it and authenticate with OAuth." Remote sign-in uses the authorization code flow with PKCE, a guard against stolen sign-in codes. Cursor renews expired tokens with a refresh token when the server issues one.
Failure isolation
The docs say "Cursor isolates server failures to prevent one server from affecting others." That matters when a developer runs many servers at once.
Where VS Code is stronger
Cost of entry
VS Code's FAQ says "VS Code is free for private or commercial use." GitHub's Copilot plans page lists "Integrates with MCP servers" in agent mode on Free, Pro, Pro+ and Max. A small team can start with MCP at $0 and pay only when it needs more usage.
Reach beyond one editor
GitHub's MCP docs say Copilot supports MCP in VS Code 1.99 or later, Visual Studio 17.14 or later, JetBrains IDEs, Xcode and Eclipse. If your developers use different editors, one Copilot policy can cover all of them.
Trust and sandbox controls for local servers
VS Code ties workspace MCP configs to Workspace Trust. Its server management docs say "Restricted mode prevents these servers from starting." The configuration reference adds a sandbox for stdio servers that limits file system and network access. That sandbox is "available on macOS and Linux only," and tool confirmations are auto-approved when it is on.
Developer features for server builders
The same reference documents a dev mode that restarts a server when files change and can attach a debugger to stdio servers. VS Code also has a chat.mcp.serverSampling setting that controls which models servers can use for sampling, meaning background model requests made by a server.
Pricing
Prices below come from the official pricing pages on 28 October 2026.
| Plan | Cursor (pricing) | GitHub Copilot (plans) |
|---|---|---|
| Free | $0/month | $0 |
| Entry paid | Plus $8/month | Pro $10/month |
| Mid | Premium $30/month | Pro+ $39/month |
| High | Super $100/month; Ultra $200/month | Max $100/month |
| Teams or Business | Teams $30+/user/month | Contact sales |
| Enterprise | Custom | Contact sales |
Cursor's pricing page lists "Repository, model, and MCP access controls" under Enterprise only. GitHub's page lists MCP in Copilot's cloud agent on Pro, Pro+ and Max, but not on Free. The VS Code editor itself costs nothing either way.
Security and admin controls
| Control | Cursor | VS Code with Copilot |
|---|---|---|
| Tool approval | "Cursor asks for approval before using MCP tools by default" | Review trust and authentication prompts; confirm tool actions |
| Admin allowlist | Commands, URLs and tools in Team Settings | Enterprise MCP allowlist; "Local configuration can't override organizational restrictions" |
| Org on/off switch | Not documented as a single switch | "MCP servers in Copilot" policy, "disabled by default" for Business and Enterprise |
| Local sandbox | Per-server network modes | Stdio sandbox on macOS and Linux |
| SSO | SAML/OIDC SSO on Teams and Enterprise | Not covered on the pages checked |
| Audit logs | Enterprise only | Not covered on the pages checked |
VS Code's MCP page warns: "Local MCP servers can run code on your machine, and tools can access external services using your permissions." That applies to both editors. Review any shared mcp.json before opening a repository, and read our guides to MCP tool poisoning and approval fatigue.
One ownership note: Cursor's blog post Cursor is now a part of SpaceX, dated 14 August 2026, says "Cursor has officially been acquired by SpaceX." Include that in vendor reviews if ownership matters to you.
Which to choose
- Pick Cursor if your team wants an AI-first editor and admins who can allowlist exact commands, URLs and tools.
- Pick Cursor if you build MCP servers and want a client that documents roots, elicitation and MCP Apps together.
- Pick VS Code if you need MCP at no cost, or your company already buys GitHub Copilot.
- Pick VS Code if your developers are spread across VS Code, Visual Studio, JetBrains and Xcode, and you want one GitHub policy.
- Use both if you prefer: MCP servers are portable. The main change is the config key (
mcpServersin Cursor,serversin VS Code's format).
For more clients side by side, see our best MCP clients list and the comparisons hub. For a setup walk-through, see connecting VS Code to GitHub.
Next step
Whichever editor you choose, the bigger risk is which servers your developers connect. Our MCP readiness audit reviews the servers, scopes and approvals your team needs before you roll out.
Frequently asked questions
Does VS Code support MCP without GitHub Copilot?
VS Code's FAQ says you can use chat with a bring-your-own-key model without signing in to GitHub. MCP tools are used by the chat agent, so check that your chosen model setup supports agent mode. Features that depend on the Copilot service are not available through bring-your-own-key models.
Can I reuse my Cursor MCP config in VS Code?
Mostly. Both use JSON files with a command or URL per server. VS Code's docs note that portable files use mcpServers, while the VS Code format uses servers, so rename the key when you copy it.
Which editor has better MCP admin controls?
They differ. Cursor offers a command, URL and tool allowlist in Team Settings, with MCP access controls listed under Enterprise. GitHub offers an org-wide "MCP servers in Copilot" policy for Business and Enterprise, plus an enterprise allowlist that local config can't override.
Is MCP free in Cursor?
Cursor's Free plan is $0, and its MCP docs do not tie MCP to a paid plan. Usage limits on the free plan still apply to the AI agent that calls the tools.
