SpaceX Partners with Cursor on AI Tools, $60B Buy Option

SpaceX announced on April 21, 2026, a partnership with Cursor, the San Francisco-based AI coding startup, that includes an option for the aerospace company to acquire it for $60 billion later this year. The collaboration aims to develop advanced artificial intelligence tools for coding and knowledge work, combining Cursor's software expertise with SpaceX's massive Colossus supercomputer.

Under the agreement, SpaceX holds a call option to purchase Cursor outright by the end of 2026 for $60 billion. If the company chooses not to proceed with the acquisition, it will pay Cursor $10 billion as compensation for the joint development efforts. The deal provides Cursor with access to significant computing resources, addressing a key challenge in training large AI models, while giving SpaceX flexibility amid its preparations for an initial public offering.

Cursor, developed by Anysphere Inc. and founded in 2022 by four MIT graduates—Michael Truell, Sualeh Asif, Arvid Lunnemark, and Aman Sanger—has experienced explosive growth. The platform, an AI-enhanced fork of Visual Studio Code, enables developers to generate and edit code using natural language prompts. It now serves more than one...