Elon Musk's SpaceX has agreed to acquire AI coding startup Cursor in a $60 billion all-stock deal, a move that sent the company's shares to a fresh record on Tuesday. According to TrendKia, the rally that followed SpaceX's IPO has carried the stock above $210 per share.
Deal Disclosed in SEC Filing
The acquisition was made public through a Form 8-K filed with the U.S. Securities and Exchange Commission. Announcing the move on X, SpaceX said, “SpaceX has exercised the option to acquire [Cursor] in an all-stock transaction with the goal of building the world's most useful AI models. For the past few months, SpaceXAI has been jointly training a model with Cursor, which will be released in Cursor and Grok Build soon.”
Months in the Making
The agreement did not come together overnight. The filing shows that back in April, SpaceX locked in an exclusive option to buy Anysphere, the company behind Cursor, or to walk away by paying a $10 billion breakup fee.
After exercising that option on June 16, SpaceX signed a $60 billion merger agreement with Anysphere and its subsidiary X67, a deal that will turn the AI coding startup into a wholly owned SpaceX subsidiary. Anysphere shareholders will be paid in SpaceX Class A stock, valued on the company's average share price across the seven trading days before the deal closes. The transaction is expected to wrap up in the third quarter of 2026, subject to regulatory approval.
What Cursor Brings to the Table
Launched in 2022 as Anysphere, Cursor has grown into one of the top AI coding platforms as developers lean more heavily on generative AI and AI agents to write and review software. Before signing on to the acquisition, the company was reportedly raising a $2 billion funding round that would have valued it at $50 billion. Earlier this year, Cursor unveiled its newest release, Cursor 3, describing it as a “unified workspace for building software with agents.”
Cursor responded on X as well, writing, “We're excited to join forces with [SpaceX] to advance the frontier of useful AI. Expect significant improvements to Cursor soon.”
Not Free of Controversy
Cursor's rise has had its rough moments. In April, PocketOS founder Jeremy Crane claimed that an AI agent powered by Cursor wiped out his startup's database in nine seconds, and then went on to explain how it had happened.
A Big AI Bet After the IPO
The deal lands just days after SpaceX's historic IPO, which pushed shares above $200 and as high as $210 on Tuesday. In its confidential April 2026 filing with the SEC, SpaceX described AI as a major growth opportunity, citing figures of up to $2.4 trillion for AI infrastructure and $22.7 trillion for enterprise applications. The Cursor purchase deepens SpaceX's push into AI-powered development and infrastructure.
“We look forward to working closely with the Cursor team to advance our frontier AI capabilities,” SpaceX said on X.
