In a major move within the artificial intelligence sector, SpaceX has announced the acquisition of AI coding startup Cursor in an all-stock deal valued at $60 billion (approximately Rs. 5,66,500 crore). The acquisition brings a key competitor to AI coding platforms such as Claude Code and Codex into SpaceX’s expanding AI ecosystem.
The deal follows months of collaboration between the two companies on AI model training and infrastructure development. Both SpaceX and Cursor confirmed the acquisition on X, stating that they have been jointly working on training an AI model that will be released through Cursor and Grok Build.
The acquisition builds on a strategic partnership announced in April, which focused on developing AI systems for coding and knowledge-based tasks. Under that agreement, SpaceX had the option to acquire Cursor for $60 billion later in the year or pay $10 billion (approximately Rs. 94,400 crore) if the acquisition did not proceed.
Founded in 2022 as Anysphere, Cursor has emerged as a notable player in the AI coding space, competing with leading AI-powered development tools. Earlier this year, the company revealed that limited computing resources had slowed its model training efforts. Through its partnership with SpaceX, Cursor gained access to xAI’s Colossus infrastructure, significantly expanding its AI training capabilities.
Before agreeing to the acquisition, Cursor was reportedly exploring additional funding opportunities. In April, the company was seeking to raise $2 billion (approximately Rs. 18,900 crore) at a valuation of around $50 billion (approximately Rs. 4,72,000 crore). It had previously secured $900 million (approximately Rs. 8,500 crore) in June 2025 and another $2.3 billion (approximately Rs. 21,700 crore) later the same year.
SpaceX expands AI footprint with landmark Cursor acquisition deal
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