SpaceX Locks in Option to Buy AI Coding Startup Cursor for $60 Billion

The deal gives Elon Musk’s combined SpaceX-xAI super company an inroad into AI-assisted coding as it competes directly with OpenAI and Anthropic.

SpaceX's Polaris Dawn Falcon 9 rocket sits on Launch Complex 39A of NASA's Kennedy Space Center in Cape Canaveral, Fla., as it prepares for another attempt to liftoff on Sept. 9, 2024. Joe Raedle/Getty Images

SpaceX announced Tuesday it has an agreement in place that gives it the right to acquire artificial intelligence coding startup Cursor for $60 billion later this year.

If SpaceX does not opt to acquire the company, it will instead pay Cursor $10 billion for the collaborative work the two have already been doing. It is unclear if the payment would be made in SpaceX stock or cash.