SpaceX said Tuesday it has agreed to a deal with AI coding startup Cursor that could result in an acquisition or $10 billion investment.
Why it matters: The deal underscores SpaceX CEO Elon Musk's push to make his company into an AI powerhouse ahead of its potential IPO, which may be the largest in history.
Driving the news: Cursor, the original vibe coding startup, has raised more than $3 billion and has recently been in talks to secure additional funding.
- SpaceX acquired xAI, Musk's other AI startup, in February.
- That transaction valued the combined company at $1.25 trillion, according to the New York Times.
What they're saying: Cursor CEO Michael Truell on X hailed the deal while reposting SpaceX's post announcing his firm had given Musk's company the right to acquire the startup later this year for $60 billion or pay $10 billion for their work together:
Editor's note: This article has been updated with comment from SpaceX and Cursor CEO Michael Truell.
