SpaceX secures $60B option to buy Cursor, to train AI on Colossus

SpaceX and Cursor announced a strategic partnership on April 21, 2026. The agreement gives SpaceX a call option to acquire Cursor later in 2026 for $60 billion. If SpaceX does not exercise the option it will pay $10 billion as consideration for the joint development work. The companies announced they will pair Cursor’s AI-first code editor with SpaceX’s Colossus supercomputer to train models for coding and knowledge work.

Cursor is developed by Anysphere Inc., a San Francisco startup founded in 2022 by four MIT classmates: Michael Truell, Sualeh Asif, Arvid Lunnemark and Aman Sanger. The product is a fork of Visual Studio Code with deep AI integration that lets developers write, edit and generate code using natural-language prompts. The company reported more than one million daily users, annualized recurring revenue above $1 billion, and adoption by 67% of Fortune 500 companies. Enterprise users on the platform generate an estimated 150 million lines of code per day.

SpaceX acquired the Colossus supercomputer through its February 2026 purchase of xAI and has moved Colossus under its control. Colossus is being expanded and is targeting a capacity equivalent to one million Nvidia H100 GPUs by late 2026. The companies will use that compute to train models aimed at developer tooling and knowledge work. SpaceX has described plans to extend Colossus into orbital data centers in later phases.

Cursor raised $2.3 billion in a Series D round in November 2025 at a reported $29.3 billion valuation and was in advanced talks in April 2026 for another roughly $2 billion round at a valuation above $50 billion. Investors have included Andreessen Horowitz, Accel, Coatue, Thrive Capital, Nvidia and Google. Founder Michael Truell has indicated interest in scaling Cursor’s Composer model, and the compute arrangement gives the company access to large-scale training infrastructure it could not easily replicate independently.

In a post on X, SpaceX wrote the collaboration will allow both companies to build “the world’s most useful models.” Company officials did not disclose plans for employee transfers or organizational integration between the two firms. The option period for the $60 billion purchase is expected to run through the end of 2026. Cursor previously declined acquisition interest from other AI firms.

SpaceX’s broader operations include an annual launch record of about 165 orbital missions in 2025 and the majority of U.S. national security launches for fiscal year 2026. The company is preparing for a potential initial public offering as early as June 2026. SpaceX holds a reported 8,285.45 bitcoin on its balance sheet. Whether SpaceX will exercise the purchase option will depend on results from the joint model development over the coming months.