SpaceX Acquires AI Coding Startup Cursor in $60 Billion Stock Deal Following IPO

SpaceX has agreed to acquire AI coding startup Cursor in a $60 billion all-stock transaction, marking one of the largest acquisitions of a venture-backed technology company and one of the first major strategic moves following the aerospace company's blockbuster public listing.

The deal comes just days after SpaceX's initial public offering and is expected to strengthen the company's artificial intelligence ambitions through its AI division, which is built around Elon Musk's xAI business.

Cursor, developed by startup Anysphere, has become one of the fastest-growing AI coding platforms in the technology sector. The company was reportedly preparing for a new funding round before the acquisition was announced.

According to reports, SpaceX had secured an option earlier this year to acquire Cursor and has now exercised that right. The transaction is expected to close in the third quarter of 2026, subject to regulatory approvals and customary closing conditions. The acquisition highlights the growing importance of AI-powered software development tools as businesses race to improve productivity and automate coding tasks. Cursor has gained significant attention among developers and enterprises seeking to accelerate software development through artificial intelligence.

For SpaceX, the purchase represents a major investment in strengthening its AI capabilities and expanding its presence beyond aerospace and satellite communications. The deal also demonstrates how the company's strong post-IPO valuation can be used as a strategic asset for large-scale acquisitions.

Industry observers view the acquisition as another sign of intensifying competition in the artificial intelligence sector, particularly in AI coding and enterprise software, where demand continues to surge.

Source: CNBC