SpaceX Completes $60 Billion Cursor Acquisition on August 14, 2026

SpaceX has completed the acquisition of artificial intelligence programming startup Cursor for $60 billion. The deal became effective on August 14, 2026, roughly two months after SpaceX announced the acquisition agreement. The transaction ranks among the largest mergers and acquisitions in the technology industry. Following the acquisition, Cursor's co-founders joined the billionaire ranks, and its team will gain access to SpaceX's advanced AI chip resources. Cursor said in a blog post that it will be able to use the world's largest GPU cluster to build more powerful models that are cheaper to run.

Cursor's AI programming assistant was launched in 2023 to help programmers write and debug code more efficiently. Fueled by software developers' demand for "prompt-based programming" tools, Cursor became one of the fastest-growing startups. Before the deal closed, SpaceX and Cursor jointly launched their first collaborative model, Grok 4.5, in July 2026. The model focuses on programming, finance, and legal tasks, and the two companies said its usage cost is lower than that of competing models. SpaceX subsequently released Grok Bot—a product that can handle tasks around the clock like a team of AI agents—and an upgraded Grok 4.6 model.

SpaceX has signed multiple multi-billion-dollar agreements with companies including Anthropic and Alphabet's Google, opening its computing resources to external enterprises. At an internal meeting with SpaceX employees in August, Elon Musk said the company must succeed at the software level and called AI the company's present and future. He told the meeting that the company's AI revenue would exceed the combined revenue of all other SpaceX businesses in September. SpaceX's AI business previously had relatively limited penetration in the enterprise market and underwent a series of layoffs and restructuring. The acquisition of Cursor is seen as a move to accelerate the commercialization of that business.