SpaceX completed its $60 billion acquisition of AI coding startup Cursor on August 14, 2026 [1]. The deal makes Cursor’s co-founders billionaires and gives the startup access to SpaceX’s large fleet of advanced graphics processing units (GPUs) for AI model training [1]. Cursor said, "We will have access to the largest fleet of graphics processing units in the world, giving us the compute to build stronger models that are also more economical to run" [1].
Earlier this year, SpaceX merged with Elon Musk’s AI company xAI and rebranded as SpaceXAI [2]. SpaceX has also rented out computing infrastructure to other AI firms, including Anthropic and Google [1, 3]. Cursor said SpaceX is "building the computing capacity needed to scale intelligence far beyond what exists today" and that Cursor will be "one place where that intelligence becomes useful" [3].
Ahead of the deal closing, SpaceX and Cursor launched their first joint AI model, Grok 4.5, in July 2026 [1, 2]. Grok 4.5 focuses on coding, finance, and legal tasks and is priced cheaper than rival AI models [1, 2]. They also released an updated Grok 4.6 model with expanded capabilities for general coding, web development, and computer-aided design [1, 2].
SpaceX first agreed on the deal in April 2026, announcing it publicly in June before completing the acquisition in August [3, 2, 1]. Elon Musk stated in August that "Our AI revenue will exceed all other SpaceX revenue by September," suggesting a rapid growth in the new AI business for the company [1].
