SpaceX has completed its $60 billion all-stock acquisition of Cursor, the AI coding startup built by Anysphere, marking what is being described as the largest startup buyout on record. Under the deal, Anysphere became a wholly owned subsidiary of SpaceX, with Cursor shareholders receiving SpaceX Class A common stock based on the deal's implied valuation.
Cursor confirmed the closing on its own account, and the company's CEO, Michael Truell, wrote separately: "Cursor has officially joined SpaceX. We're grateful to become part of such a special company, and it has been a privilege working with the SpaceXAI team. Lots ahead."
From Partnership to Full Acquisition
The deal's roots go back to April 2026, when SpaceX and Cursor first struck a partnership giving the startup access to SpaceX's Colossus supercomputer to help train Grok models, alongside an option for SpaceX to acquire the company outright. That option converted into a definitive merger agreement in June, days after SpaceX's own IPO, and the transaction formally closed on August 14. Cursor's technology has already helped train two new Grok models, including Grok 4.6, which SpaceX released just two days before the deal closed.
Building Out SpaceXAI
The acquisition folds Cursor's workforce and tools directly into SpaceXAI, the AI division SpaceX built around its earlier merger with Elon Musk's xAI. Cursor will not continue to operate as an independent company, and some of its forthcoming products — including an unreleased general-purpose AI agent — are expected to eventually carry the Grok brand rather than Cursor's own. The move positions SpaceXAI to compete more directly with coding-focused AI products from Anthropic and OpenAI, using Cursor's engineering team and existing customer base as a running start rather than building a competing tool from scratch.
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