SpaceX, Elon Musk’s rocket and satellite company, said on Tuesday that it had struck a deal with the artificial intelligence start-up Cursor that could result in its acquiring the young company for $60 billion.
SpaceX is making the deal just as it prepares to go public in what is likely to be one of the largest initial public offerings ever. In a social media post, SpaceX said the combination with Cursor, which makes code-writing software, would “allow us to build the world’s most useful” A.I. models.
SpaceX added that the agreement gave it the option “to acquire Cursor later this year for $60 billion or pay $10 billion for our work together.” It is unclear if the companies plan to consummate the deal before or after SpaceX’s I.P.O., which could happen as early as June.
Mr. Musk, SpaceX and Cursor did not immediately return requests for comment.
In February, SpaceX acquired xAI, Mr. Musk’s A.I. start-up, in a transaction that valued the combined company at $1.25 trillion, according to information sent to investors. Mr. Musk is trying to direct his rocket and satellite manufacturer to increasingly focus on A.I. and data centers that orbit the Earth.
Cursor, which has raised more than $3 billion in funding, was founded in 2022 and made waves as a fast-growing A.I. start-up. It was under pressure in recent months after OpenAI and Anthropic announced competing code-writing products that were embraced by tech companies. Cursor had been in talks to raise funding in recent weeks.
This is a developing story. Check back for updates.
