SpaceX (Unlisted (US):SPACEX) said it has secured an option that would allow it to acquire AI code-generation startup Cursor for $60 billion later this year, or alternatively commit $10 billion to a new strategic partnership with the company.
The deal is part of SpaceX’s expansion into AI developer tools, a growing market focused on using artificial intelligence to automate and assist software coding.
Cursor is one of several Silicon Valley startups in the AI coding sector, alongside companies such as OpenAI and Anthropic. These companies have attracted widespread adoption among software developers by using AI systems to help generate, edit, and debug code.
If the acquisition option is exercised, it would give SpaceX’s AI division xAI a larger role in the AI coding market, where it currently has less presence compared with some competitors. xAI was merged into SpaceX in February.
The arrangement would also provide Cursor with access to additional computing resources to support the development and training of its AI models.
“The combination of Cursor’s leading product and distribution to expert software engineers with SpaceX’s million H100 equivalent Colossus training supercomputer will allow us to build the world’s most useful models,” SpaceX wrote in a post on X.