SpaceX Secures Option to Buy AI Startup Cursor for $60 Billion

SpaceX is preparing for a massive public offering that is expected to fill the company's coffers with billions of dollars in new capital. Ethan Swope/Bloomberg News

SpaceX said it secured the right to buy artificial-intelligence coding startup Cursor for $60 billion.

In a post on X Tuesday, SpaceX announced that the companies were working closely together on coding and AI, and that it had an option to purchase Cursor later this year.

"The combination of Cursor's leading product and distribution to expert software engineers with SpaceX's million H100 equivalent Colossus training supercomputer will allow us to build the world's most useful models," SpaceX said. Colossus is an AI computing complex Musk's xAI developed in Memphis, Tenn.

The agreement comes as SpaceX prepares for a massive public offering that is expected to fill the company's coffers with billions of dollars in new capital that it would use to develop AI models to compete with industry heavyweights like OpenAI and Anthropic.

Texas-based SpaceX continues to reinvent itself ahead of the planned offering. The company, long focused on launching rockets and deploying satellites, acquired xAI earlier this year, folding Musk's nascent AI company into its sprawling aerospace operation.