Spacex acquires AI coding startup Cursor for $60B in stock

SpaceX has agreed to acquire AI coding startup Cursor for $60 billion in stock, just days after its record-breaking IPO valued the company at over $2 trillion. The deal makes Cursor's parent company Anysphere a wholly owned subsidiary, expected to close in Q3 2026. Cursor, founded in 2022, has become a dominant player in AI-assisted programming, helping developers generate, edit, and review code. It competes directly with Anthropic's Claude Code and OpenAI's Codex, and had been exploring a funding round at a ~$50B valuation before SpaceX's offer. The startup already generates roughly $2.6 billion in annualized B2B revenue and counts investors like Andreessen Horowitz, Thrive Capital, Nvidia, and Google.

This acquisition signals Musk's aggressive bet on AI tools for developers as SpaceX seeks to close the gap with rivals OpenAI and Anthropic. SpaceX previously merged with xAI and has told investors that AI infrastructure and enterprise applications will drive long-term growth. By bringing Cursor in-house, SpaceX gains not only a leading coding platform but also a large community of professional developers and enterprise customers. The all-stock deal leverages SpaceX's surging share price post-IPO, giving Musk a powerful currency to expand his AI empire beyond rockets and satellites.