alt Hacker NewsSpaceX to buy Cursor for $60B
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I wonder how much zed industries is being valued at.
Damn. i see myself using Zed and CLI for codex and claude. But kudos to the team.
Not sure how this closes the gap to Anthropic and OpenAI for xAI. Is there a play that I am overlooking?
If this acquisition goes through the only winner here is Cursor, especially since CC and Codex are chipping away at Cursor very hard!
I wonder why IDEA didn't catch up with its own agent support and even their own models. It's not like agent harness is that hard to build, right? Or maybe they did, it's just that they haven't won the hearts and minds of the developers like Cursor did?
most likely it's for Cursor's data, not the IDE itself
I personally use CC and Zed -- works great. No need for a VSCode-based IDE. I've even dropped JetBrains (and I was a long-time user).
i hope they will integrate roblox for future generations of robot makers to be pre trained on games
Use cash to buy GPUs and stock to buy companies.
Well that didn't take long.....
I run Claude Code in cmux with Soonpatch and that's it. I tried looking at Cursor but honestly it wasn't providing any value and I prefer being 100% up to date with CC updates/interface
If it takes $60B to respond to the prompt 'clone Cursor' I am not convinced it is worth $60B.
Wow they are using 80% of what they raised 4 days ago to buy an IDE. Absolutely incredible.
Everybody remember when Zuckerberg told in an Interview in 2024 that human data does not matter that much or more specifically "individual creators or publishers tend to overestimate the value of their specific content". Something along the line RL-Loops are more important.
Hard to square this with that acquisition which seems to be focused on Cursors vast amount of User Data.
At least for now.
What does cursor have? An ide and coding orchestration? They are using Claude or codex for llms, so they get acquired for their user base and tooling? Feels like a lot of money for that given Claude has the majority mindshare.
Cursor's value add as a developer seems much slimmer than the 60bn price tag justifies, but I guess they have a lot of data from the non private usage which bumps the value up?
The product itself is practically a vscode wrapper with Agent implementation and K2.5 forked model (composer).
I had high hopes in Antigravity and Gemini, but they royally screwed up everything to such a level that the only worth plan is to use free plan for creating docs.
Oh well, time to cancel my Cursor subscription. What a shame.
Wasn't that already announced few weeks ago, only with deal going through depending on Cursor future stock price?
So that accounts for about three quarters of the money SpaceX just raised then?
I really dont get the point of cursor, I always find it subpar product too, but damn they are all got acquired congrats
Cursor's stockholders better cash out quick.
this is financial engineering to increase ARR temporarily, feels like next year Elon will dump lots of stocks
For about 10 billions over the twitter price (inflation adjusted)
Mesmerizing....
90% of my dev workflows have moved to Devin cloud agents.
I don’t miss the days of fumbling around with my local repos across my multiple agent work trees or clones.
I just throw a task at Devin and I get a PR a few moments later.
Then it monitors the PR for any failing CI or review comments without me in the loop.
Now I can have 10+ Devin’s running at any given moment as I walk home from the coffee shop.
Good hopefully Grok Build gets better and they start to innovate in this area. Claude Code and ChatGPT need more competition. So that they also innovate more.
I'm still waiting for the real news to drop- in the next 6 months we're going to start hearing some big moves from Space X AI. Early this year they lost pretty much all their leadership, it's very clear they failed to keep up with the frontier models and Musk has essentially given up for now - renting out their compute to Anthropic and Google. But that's not sustainable, everything they say about their IPO is that AI is the core value driver. So at some point Musk is going to have some decisions to make about who he brings in to drive that. I imagine once they get that person in and start building a team around them the deals with Anthropic and Google will be ended.
I guess the cursor guys will be happy because they got their pay day, but I'd be very aware if I were them that their future is at the whim of whoever Musk appoints and it's difficult to tell who that would be right now.
I guess now is the time to take bets, so I'm going to bet an early OpenAI employee like Sutskever gets the job and they acquihire him in. Here's a bit of a laugh - at this stock price Musk could probably tempt Demis to come over, that would be wild.
Related:
> For the past few months, SpaceXAI has been jointly training a model with Cursor, which will be released in Cursor and Grok Build soon.
Oh, forgot I have it installed
yay -R cursor-bin
And gone
That’s two zeros too many.
You generally see this sort of thing in the games industry when a publisher gives a developer a bunch of money to make a game but then the developer screws up and runs out of money. Publisher buys them to try to recoup their investment.
Is Cursor dying?
What an incredible outcome for the Cursor team. Hopefully the Cursor + xAI teams working together can produce a competitive frontier model.
Good timing because they are paying with SpaceX shares which are at a crazy high valuation right now (compared to just a few days ago)
I really hope Musk doesn't ruin the product itself. I am not a fan of how he changed X at all. Id really like to see them stay on the current path, which has been brilliant so far
Will cursor launch a CLI tool like Claude/codex/opencode/pi ?
incredible 60 B!
ai is like the first technology with a conversational service manual inside it..
you should be foaming at the mouth to use claude or codex to make a custom harness, just for your own personal use with local models...
"Houston, we have a problem"
"One minute, let me ask my AI agent"
Nonsense like this reminds me of the following quote from the 1999 Thomas Crown Affair movie:
“Have you figured out what you're going to say to your board when they realize you paid me thirty million more than others were offering?”
In the span of <20 years we’re talking about a sale price 3 orders of magnitude larger than a minor plot point of a hollywood movie.
Interesting that they disclose this right after IPO.
> The biggest focus of its business is the manufacture and launch of rockets with reusable parts.
Is it though ? Their TAM in their filing lists 85% as AI. $18.7 billion in REVENUE 2025 yet are spending more than 3x that for Cursor, and AI company.
Why don't they just make their own in-house development environment? Cursor's codebase is maybe 5,000-50,000$ worth of actual code, even just $10M (compared to the $60B) could knock Cursor out of the park with a completely custom code editor, and even with a smaller budget they could fork VSCode. Maybe for the social value? I feel like a $10B advertising budget for a bespoke AI development environment is more than enough to become an actual competitor.
They're doing what anyone would do in their position. I won't be surprised if they bought more companies while the stock price is that high.
I'm genuinely excited for Cursor Composer 3. A Cursor model with Grok resources could compete with OpenAI and Anthropic.
Who is this Cursor person you speak of?
Good hopefully Grok Build gets better and they start to innovate in this area.
Claude Code and ChatGPT need some competition. So that they also innovate more.
Does that mean all of the co-founders would become billionaires? And they're, what, like 20 year olds?
And I'm here trying to get something to make a $1000 per month. What a world.
Ugh, I'm already tired of seeing ads everywhere for Cursor about how you can build EVERYTHING and solve all problems using their agentic IDE, so now I have even more reasons to dislike SpaceX too.