SpaceX secured an option to buy Cursor for $60B, with an alternative $10B partnership structure if the acquisition does not go through. The deal gives Cursor access to xAI’s Colossus supercomputer, helping remove a key compute bottleneck while deepening the link between Cursor’s coding product and xAI’s infrastructure.

The structure creates a powerful vertical AI play: Cursor brings a code editor and strong developer distribution, while SpaceX & xAI bring compute, capital & internal demand for coding agents.

The move also comes as SpaceX pushes further into AI tooling ahead of a potential IPO and as Cursor remains one of the fastest-growing companies in the AI developer stack.