Space Exploration Technologies Corp. completed its $60 billion all-stock acquisition of Anysphere Inc., the company behind the AI-powered coding tool Cursor, on August 14. The transaction makes Cursor a wholly owned subsidiary under the SpaceXAI unit, marking one of the largest technology deals of the year and expanding SpaceX’s presence in artificial intelligence software development.

An SEC filing confirmed the merger took effect through SpaceX’s subsidiary X67 Inc., which combined with Anysphere. Under the terms, shares of Cursor’s common and preferred stock outstanding immediately before the closing converted into the right to receive an aggregate of 389,289,254 shares of SpaceX Class A common stock. The exchange was calculated using an implied equity value of $60 billion for Cursor and the volume-weighted average closing price of SpaceX shares over the seven trading days preceding the merger.

Vested restricted stock units converted into rights to receive approximately 1.75 million SpaceX Class A shares before tax withholding, with cash provided for fractional shares. Unvested awards were assumed and converted into roughly 29.1 million SpaceX restricted stock units and about 44.4 million options to purchase SpaceX Class A shares. The consideration was issued under a Securities Act exemption for transactions not involving a public offering.

Integration into SpaceXAI and Compute Access

Cursor confirmed the closing in a statement, noting that its team would join SpaceXAI to advance products including Grok, Grok Build, Grok Bot, the Grok API, and Cursor itself. The company stated that the combination provides access to extensive computing resources, described as the largest fleet of GPUs available, including the Colossus supercomputer. This capacity is expected to support training of stronger models that operate at lower cost for users.

The full acquisition followed an earlier arrangement. In April, the companies entered a compute and option agreement that gave Cursor access to SpaceXAI infrastructure for model training while granting SpaceX the right to acquire the startup. A definitive merger agreement was signed on June 16, with the deal expected to close in the third quarter. The companies had already collaborated on joint model development, and the recent release of Grok 4.6 was positioned as an early indication of combined capabilities. A beta of Grok Bot was also referenced in connection with the integration.

Cursor has indicated continuity for existing customers while gaining additional resources to pursue AI systems that handle larger portions of software development work. The platform is used widely by developers and enterprises.

Share Price Movement and Analyst Views

SpaceX shares, trading under the ticker SPCX, declined following the announcement. The stock opened near $143 and traded as low as approximately $135.53 before recovering toward $140, representing a decline of roughly 1 to more than 2 percent in various reports. This movement came after a prior five-day advance of more than 23 percent, which market participants linked in part to anticipation of the merger completion and the Grok 4.6 release.

Morgan Stanley has maintained an Overweight rating with a $300 base-case price target and a $600 bull-case scenario. Analyst Adam Jonas identified Cursor as a significant potential contributor to upside, citing its position in code generation as the technology becomes more automated. Projections referenced in coverage included possible growth in Cursor’s annual recurring revenue toward higher levels by 2030 and potential revenue contributions in the billions of dollars in coming years. Other firms have issued targets in the $200 range.

The transaction adds Cursor’s software operations to SpaceX’s existing activities in launch services, satellite internet, defense, and AI computing infrastructure. SpaceX has previously highlighted AI compute as a growth priority in its disclosures. The all-stock structure allowed the company to complete the acquisition without using cash proceeds from its earlier public listing.

Cursor will continue operating under its established brand as part of the broader SpaceXAI effort focused on developing practical AI tools for software engineering and related applications.