First and second cutter head assemblies each include a key follower positioned at a first elevation and a spaced apart cutting wheel positioned at a second elevation. The key followers trace the bitted surfaces of a master key while the cutting wheels move with the key followers and duplicate bitted surfaces of the master key onto a key blank. A linear displacement bearing assembly is coupled to the first and second cutter heads to permit the key followers and cutting wheels to be laterally displaced with respect to the master key and key blank. A key positioning cassette system holds and aligns the master key and key blank relative to the first and second cutter head assemblies. Another linear displacement device is coupled to the base of the key cutting machine and to the cassette system for longitudinally displacing the key blank and the master key with respect to the longitudinally fixed key followers and cutting wheels. The various elements of the key cutting machine thus trace or follow the bitted surfaces of the master key and duplicate those bitted surfaces onto the bitted surfaces of the key blank.