SpaceX completes $60B acquisition of Cursor, integrates team into SpaceXAI

SpaceX has closed its $60 billion acquisition of Cursor, bringing the fast-growing AI coding startup into Elon Musk’s expanding AI operation as the company seeks to close the gap with OpenAI and Anthropic.

The deal took effect Friday, Aug. 14, according to a SEC filing, two months after the acquisition was announced.

Cursor’s coding assistant has become a major player in the AI software-development market since its 2023 launch, helping programmers generate, edit and debug code through natural-language prompts. Its rapid growth made it one of the standout companies in the vibe-coding boom.

The acquisition will give Cursor access to SpaceX’s extensive AI computing infrastructure and GPU supply, which the startup says will allow it to develop stronger models that are less expensive to operate. Cursor’s four co-founders are expected to become billionaires from the deal.

The companies have already collaborated on AI models, launching Grok 4.5 in July for coding, finance and legal applications. SpaceX has since rolled out Grok Bot, designed to operate as a team of AI agents, along with Grok 4.6.

Musk has increasingly emphasized AI as a core part of SpaceX’s future. The company has signed multibillion-dollar computing agreements with Anthropic and Google, while Musk recently told employees that SpaceX “must succeed on the software front.”