Trending on X: SpaceX takes a $10 billion option to acquire Cursor for $60 billion
What Happened
SpaceX announced a deal with AI coding startup Cursor combining Cursor's developer base with SpaceX's Colossus supercomputer. The structure: pay $10 billion for the partnership now, or buy the company outright for $60 billion later in 2026. Two senior Cursor engineers recently left for xAI. Cursor was last valued at $29.3 billion in November.
My Take
The pile-on read is xAI patching its weakest area at any cost. Treat the option as a coupon instead — SpaceX gets nine months to vet Cursor's economics before committing capital, and Cursor gets a referee that keeps OpenAI from outbidding. The structure says nobody actually knows what coding-tool revenue is worth at scale. Prediction: by year-end at least one other lab buys an option on a developer-tools startup, copying the structure rather than the dollar amount.
Read Original Source