SpaceX will acquire AI coding tool Cursor for $60 billion in an all-stock transaction, the companies announced today. The deal is expected to close in the third quarter.

It comes just two days after SpaceX's unprecedented IPO and a few months after the merger of SpaceX and xAI, which brought a significant restructuring of xAI.

Cursor was one of the first tools to fully bake features that leverage large language models into an IDE. It's a branch of Visual Studio Code with heavy AI integration. However, incumbent platforms and bigger AI companies have since rolled out comparable features.

Read full article

Comments

© Cursor

The Justice department says the Pentagon needs xAI to keep using its unpermitted gas turbines.

Days after its massive IPO, SpaceX says it is spending $60 billion to buy Cursor - a bet designed to help Elon Musk's sprawling rocket / AI / social media behemoth win over lucrative enterprise customers and close the gap with AI rivals like Anthropic and OpenAI.

The takeover was not entirely unexpected: SpaceX announced a peculiar arrangement in April in which it agreed to either acquire the programming platform for $60 billion or pay a $10 billion breakup fee. The company had been holding off completing the deal while going public.

In an SEC filing, SpaceX said it expects the deal to close during the third quarter of 2026.

Musk has pr …

Read the full story at The Verge.