AI Startup Cursor Joins SpaceX Following $60 Billion Acquisition

Cursor, an AI coding startup, is now officially a subsidiary of SpaceX, as announced on the Cursor blog. The merger comes after a deal was struck in April, allowing SpaceX to acquire Cursor for $60 billion while collaborating on technology development.

This acquisition follows SpaceX’s earlier purchase of xAI, another company founded by Elon Musk, earlier this year. Just two months after SpaceX transitioned to a public company, both organizations confirmed the progress of the acquisition.

In its announcement, Cursor highlighted the advantages of SpaceX’s computing infrastructure, which has been leased to clients such as Anthropic and Google. Cursor emphasized that joining SpaceX will grant it “access to the largest fleet of GPUs in the world.”

“SpaceX is building the computing capacity needed to scale intelligence far beyond what exists today,” Cursor stated, adding that the company aims to become a central hub for this enhanced intelligence.

SpaceX is currently facing legal challenges related to environmental concerns stemming from its data center gas turbines.