SpaceXAI and Cursor plan to launch their first jointly developed AI model as soon as Wednesday, The Information reported, citing a memo sent to staff.
The companies had pushed back plans to launch the model earlier this week in order to improve its efficiency, added the report published on Tuesday.
Advanced AI models are at the center of the AI boom and the new model is expected to process information quickly, making it competitive in some respects with Anthropic's Opus 4.8 and OpenAI's GPT 5.5, according to the report.
Cursor declined to comment when contacted by Reuters, while SpaceXAI did not immediately respond to a request for comment.
Reuters could not independently verify the report.
Elon Musk's SpaceX said in June it would buy Anysphere, the startup behind popular AI coding agent Cursor, in an all-stock deal worth $60 billion to boost its presence in the lucrative enterprise AI tools market.
Cursor is a key competitor to Anthropic and OpenAI, but faces growth challenges due to a lack of access to computing power.
The acquisition is expected to give SpaceXAI, formerly known as xAI, a stronger hold in AI coding, which is proving to be an area with high revenue potential. XAI was acquired by SpaceX in February.
SpaceX also joined the Nasdaq-100 on Tuesday, less than a month after its stock market debut on June 12, making it among the fastest inclusions to the index thanks to the Nasdaq's revised rules for newly listed companies looking to enter widely tracked benchmarks.
