Hey, thanks for the report.
This is a known issue, and it’s a duplicate of this thread: Gemini API key doesn't work with the latest Cursor version
The team is already working on a fix. The issue started in version 2.2.36 and is related to how Cursor routes requests to the Gemini API. It’s using a regional endpoint instead of the global one.
Please follow the main thread for updates. There’s no workaround yet, but for now you can try using a different model.