The owner of X and xAI is now “collaborating intensively” with the developer behind the prominent AI coding assistant.
SpaceX and the artificial intelligence firm Cursor have established a new collaboration that may lead to the owner of X purchasing the AI developer for $60 billion later this year. “SpaceXAI and @cursor_ai are now working closely together to create the world’s best coding and knowledge work AI,” SpaceX announced in a post on X.
SpaceXAI and @cursor_ai are now working closely together to create the world’s best coding and knowledge work AI.
The combination of Cursor’s leading product and distribution to expert software engineers with SpaceX’s million H100 equivalent Colossus training supercomputer will…
— SpaceX (@SpaceX) April 21, 2026
Per SpaceX, the agreement permits the company to either invest $10 billion into the AI coding tool provider or acquire it fully “later this year” for $60 billion. Should the acquisition proceed, it remains uncertain when Cursor might formally join Elon Musk’s rapidly expanding and increasingly interconnected network of businesses. SpaceX recently purchased xAI, the billionaire’s AI venture that also controls X, earlier this year. SpaceX is currently preparing to go public this summer in what is expected to be the biggest initial public offering (IPO) in history.
Cursor, which has reportedly been in discussions to secure its own $2 billion funding round, is recognized for its AI coding tool of the same name, which has become the preferred vibe coding platform for numerous developers. It enables users to utilize either its proprietary models or those from other major AI companies, including OpenAI, Google, Anthropic, and xAI.
In a statement, Cursor noted that its partnership with SpaceX will “accelerate our model training efforts” while resolving infrastructure challenges that have previously hindered progress. “We’ve wanted to push our training efforts much further, but we’ve been bottlenecked by compute,” the company explained. “With this partnership, our team will leverage xAI’s Colossus infrastructure to dramatically scale up the intelligence of our models for coding and beyond.”
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