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SpaceX said that, alternatively, it could pay $10 billion to
“work together” with Cursor.
SpaceX announced the deal Tuesday on the social platform X,
which along with the AI chatbot Grok is part of a constellation
of properties that Musk has merged into his rocket company.
Cursor, made by San Francisco startup Anysphere, is a popular AI
coding assistant. What SpaceX describes as Cursor's wide
“distribution to expert software engineers” is likely part of
what makes it attractive to Musk's company, giving it access to
a new customer base.
Cursor said its new partnership with SpaceX subsidiary xAI will
enable it to build future AI products using xAI's massive AI
data center complex Colossus, based in Memphis, Tennessee.
“We’ve wanted to push our training efforts much further, but
we’ve been bottlenecked by compute,” Cursor said in a statement
on X, which didn't mention the possibility of being acquired.
“With this partnership, our team will leverage xAI’s Colossus
infrastructure to dramatically scale up the intelligence of our
models.”
Cursor, which started in 2022, helped sparked a trend called
“vibe coding” as AI coding assistants have become increasingly
capable of doing the work of computer programming.
Cursor competes with other coding tools like Anthropic's Claude
Code and OpenAI's Codex but also has relied heavily on
partnerships with those larger AI research companies for the
foundations of its technology.
It was Cursor’s Composer, combined with Anthropic’s Claude
Sonnet, that a prominent AI researcher was playing with for
weekend projects when he coined the phrase “vibe coding" in
early 2025.
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