SpaceX eyes $60B Cursor acquisition, AI deal

SpaceX has partnered with AI coding startup Cursor, securing an option to acquire the company for $60 billion later this year. This strategic move aligns with SpaceX's upcoming IPO, potentially enhancing its valuation by integrating Cursor's AI development capabilities. The partnership leverages SpaceX's supercomputer power with Cursor's expertise in AI for software engineers. This collaboration follows recent reports of xAI renting computing power to Cursor and key Cursor engineers joining xAI. Despite Cursor's reliance on models from competitors like OpenAI, this deal could accelerate its development of proprietary AI, addressing a gap in its current offerings.