SpaceX completes $60 billion acquisition of Cursor AI

# SpaceX Completes $60 Billion Cursor Acquisition, Deepening Its Push Into AI

SpaceX has officially completed its reported $60 billion acquisition of AI coding startup Cursor, bringing one of the fastest-growing developer software companies into Elon Musk’s expanding artificial intelligence ecosystem. The deal follows a strategic partnership between the two companies that began in April, when SpaceX secured the right to acquire Cursor. SpaceX formally committed to the transaction in June, setting the stage for the acquisition to close on Friday.

Cursor confirmed the completion in a post on X, announcing that it would become part of the SpaceXAI team. The company said its engineers would work alongside SpaceX’s AI division to advance Grok and several AI-powered products, including Grok Build, Grok Bot, Grok API and Cursor itself. Musk welcomed the team with a brief “Welcome” message. The acquisition represents a major expansion of SpaceX’s ambitions beyond its traditional aerospace and satellite businesses. Cursor has established itself as a prominent AI-powered coding platform, helping developers write, edit, understand and improve software using artificial intelligence.

Its technology has increasingly placed it in competition with major AI players such as OpenAI and Anthropic. The relationship between Cursor and SpaceX had already moved beyond a conventional commercial partnership before the acquisition was finalized. According to reports, Cursor worked with SpaceX’s AI team to train Grok 4.5, using trillions of tokens of Cursor data as part of the process. Cursor cofounder Aman Sanger previously described the collaboration with the SpaceXAI team as a positive experience.

The startup also contributed to the development and training of Grok 4.6, which SpaceX released earlier this week. The completed acquisition could give Cursor access to significantly greater computing resources as it becomes integrated into Musk’s broader AI infrastructure. Cursor said the partnership would provide access to a massive fleet of GPUs, allowing it to develop more capable AI models while reducing the cost of running them. The company believes that additional computing capacity could help deliver stronger AI tools to customers at lower costs.

For SpaceX, meanwhile, Cursor provides a direct foothold in enterprise software and AI-assisted programming. Morgan Stanley has estimated that Cursor could contribute roughly $2.5 billion to SpaceX’s revenue in 2026 and potentially $13 billion in 2027 if its rapid growth continues. Analysts have suggested that such growth could strengthen the investment case for a significantly higher SpaceX valuation. The transaction also highlights how computing infrastructure is becoming increasingly important to the AI industry.

SpaceX is investing heavily in large-scale computing capacity as Musk’s companies seek to expand AI development and applications. Cursor could become an important interface through which that computing power reaches developers and businesses. Rather than remaining solely focused on software engineering, the collaboration suggests a broader vision for AI systems capable of supporting a wider range of tasks. Cursor said its long-term goal remains helping people spend less time writing code and more time solving complex problems.

With SpaceX’s resources behind it, the company now expects to pursue that goal on a much larger scale. The acquisition therefore marks not only a change in ownership but also a potentially significant step in SpaceX’s transformation into a broader technology and AI powerhouse.