SpaceX Secures Option to Acquire Cursor for $60B — Largest AI Coding Deal Ever

Bloomberg / Hacker News (687pts)·high signal

SpaceX announced an agreement giving it the right to acquire AI coding startup Cursor for $60 billion, with a $10 billion breakup fee if the deal doesn't close. The acquisition is deferred due to SpaceX's imminent IPO targeting a $2 trillion valuation. The deal is driven by xAI's admitted weakness in coding tools compared to Claude and Codex, and Cursor's 1M daily active users and $2B ARR run rate. HN commenters questioned whether Cursor's fundamentals justify the valuation given its reliance on reselling LLM API tokens.