SpaceX closes its $60B acquisition of AI coding startup Cursor

AI coding startup Cursor is officially part of SpaceX, the companies announced this week, closing a deal that was first struck in April. The acquisition, valued at $60 billion, gives Cursor access to SpaceX's massive computing infrastructure, which the company has already been renting out to clients like Anthropic and Google.

In a blog post announcing the close, Cursor emphasized the significance of the deal: "SpaceX is building the computing capacity needed to scale intelligence far beyond what exists today. Cursor will be one place where that intelligence becomes useful." The post also highlighted that becoming part of SpaceX means access to "the largest fleet of GPUs in the world."

The deal comes amid SpaceX's expansion into AI infrastructure, a move that has not been without controversy. The company faces a lawsuit over pollution from gas turbines at its data centers. But for Cursor, the acquisition represents a major shift in resources and scale, potentially reshaping how the AI coding tool evolves.

For developers who rely on Cursor, the immediate impact is unclear, but the long-term trajectory could be significant. With SpaceX's computational muscle behind it, Cursor may be able to offer more powerful AI-assisted coding experiences, though questions about focus and independence loom.