SpaceX has completed the acquisition of Cursor, the AI coding startup that makes a popular tool for writing software. SpaceX and Cursor agreed to work together on technology, which also included an option for SpaceX to buy the company for $60 billion. SpaceX has been building out a massive computing infrastructure that it rents to big AI players like Anthropic and Google. Cursor makes the software tools that programmers use to write code with AI assistance, and those tools need serious computing power to stay useful.
In its announcement, Cursor said, "SpaceX is building the computing capacity needed to scale intelligence far beyond what exists today," the company wrote. "Cursor will be one place where that intelligence becomes useful."
That combination works for both sides. SpaceX gets a proven, popular software product to offer alongside its hardware, while Cursor gets the massive computing engine it needs to keep improving its tools. It is the deal that only makes sense when computing power has become the most wanted resource in tech.
SpaceX's data center business is central to this deal. The company has been renting computing capacity to outside AI developers, and Cursor's coding tools depend on that same kind of capacity. Putting the two together means the software and the hardware can be developed in the same place.
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