The vibe coding market is a large and growing source of revenue for AI model developers such as Anthropic PBC. The Cursor partnership gives SpaceX a bigger presence in that segment, which may help drive up investor interest in its upcoming public offering. SpaceX reportedly hopes to sell $75 billion worth of shares at a $1.75 billion valuation.

Microsoft considered buying Cursor but did not move forward. SpaceX now holds the rights to acquire the startup for $60 billion or pay $10 billion for a partnership.

Elon Musk’s aerospace company, SpaceX, recently announced that it has secured the option to buy the AI code-generation startup, Cursor, or pay for their partnership. SpaceX and Musk’s AI startup xAI merged in February this year.

When SpaceX isn’t landing rockets, it’s apparently landing AI company deals. Two months ago, the firm behind Starlink absorbed

SpaceX and AI company Cursor have struck a new partnership that could see the owner of X buy the AI company for $60 billion later this year.

Elon Musk's SpaceX has secured an option to either acquire AI coding startup Cursor for $60 billion later this year or enter a $10 billion partnership. SpaceX Weighs Acquisition Or Partnership With Cursor SpaceX's official X handle said,

SpaceX announced a partnership with coding startup Cursor that will give Elon Musk's company a major foothold in the AI coding race.