Elon Musk\u2019s SpaceX has signed an agreement to acquire Anysphere, the company behind the AI coding agent Cursor, in an all-stock deal valued at $60bn.<\/p>\n
The transaction is set to strengthen SpaceX\u2019s involvement in the market for AI tools aimed at business customers.<\/p>\n
The planned acquisition follows SpaceX\u2019s recent debut on the Nasdaq, which saw the company\u2019s valuation rise above $2tn.<\/p>\n
Subject to regulatory approvals and other closing conditions, the deal is expected to be completed in the third quarter of this year.<\/p>\n
Under the terms, Anysphere shareholders will receive SpaceX Class A common stock reflecting an implied equity value of $60bn for the Cursor developer. This valuation is based on the volume-weighted average price of SpaceX shares during the week prior to closing.<\/p>\n
Through the deal, SpaceX aims to expand in the AI coding market, an area where software firms have started generating significant income from enterprise adoption, reported Reuters<\/a>.<\/p>\n xAI, another business acquired by SpaceX in February, will also play a role, as the company seeks a stronger position amid competition from established rivals such as Anthropic and OpenAI.<\/p>\n According to SpaceX\u2019s IPO filings, gaining access to developers\u2019 data from Cursor, including coding requests and design decisions, may contribute to improvements in its proprietary AI models, such as Grok.<\/p>\n Plans include the soon-to-be-released AI model on the Cursor platform, and a joint effort to train Grok Build, xAI\u2019s coding agent.<\/p>\n SpaceX confirmed the transaction would not use proceeds from its share offering.<\/p>\n Cursor, like other Silicon Valley start-ups, has attracted a community of developers wishing to automate coding, but has reportedly faced limitations due to restricted access to computing resources.<\/p>\n SpaceX had been considering the acquisition for several months and previously gave itself the option to either purchase Cursor for $60bn or pursue a $10bn partnership.<\/p>\n If the transaction falls through under certain circumstances, SpaceX may pay a termination fee of $10bn, or $4bn if the deal does not proceed due to antitrust matters, as per regulatory documents<\/a>.<\/p>\n It remains unknown if the agreement will impact SpaceX\u2019s recent arrangements to lease cloud computing capacity from Anthropic and Google. The two deals have a combined value of approximately $26bn annually and feature 90-day termination clauses.<\/p>\n Anysphere will become a wholly owned subsidiary of SpaceX following the merger, which will be carried out through X67, a subsidiary of the latter.<\/p>\n