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
SpaceX to buy Cursor for $60B
331–340 of 1001 posts
Re: SpaceX to buy Cursor for $60B
#332I'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…
Why is it not sustainable? Right now it appears to be a better business than selling access to models.
Re: SpaceX to buy Cursor for $60B
#333Wow they are using 80% of what they raised 4 days ago to buy an IDE. Absolutely incredible.
Per latest reporting, Cursor's current annual revenue rate is $4 billion. So SpaceX is buying 15 years of future cashflows, assuming no change in revenue. Which is bad assumption given past growth was gigantic. They are also buying 300-400 employees with proven record of training good coding models. Their expertise will be used to improve Grok Build coding agent. Also, they're using stock, not cash, so effectively th…
"training good coding models" many would say that is a highly debatable statement, and some would say that is just flat out not true. Cursor has not trained a frontier model from scratch, what they did was take an already made (non-frontier) model and further trained it on their user data about coding outcomes from its coding agent. So, a form of distillation and RL.
Re: SpaceX to buy Cursor for $60B
#334"SpaceX told investors during the IPO process that it sees an addressable market for AI products worth $26 trillion, roughly equivalent to U.S. GDP." This is unhinged.
Dunno the actual number, but one thing I'm certain is that it must be closer to $0 than $26 trillion on a number scale.
Re: SpaceX to buy Cursor for $60B
#335That's interesting I was using Windsurf before and I really enjoyed it. Then it became part of Devon. I was less thrilled about that so I was looking at Cursor, but now it's also getting bought out. Any suggestions on what else is left? : )
Re: SpaceX to buy Cursor for $60B
#336$60b is crazy. Cursor is an extension for VS Code, a harness and a bunch of prompts. They have their own model (Composer 2) which is based Kimi K2.5, but I don't think SpaceX would be interested in it. If they need a harness for grok, they could fork PI. What are they after for here? Customer base? Talent?
Usage data.
Exactly that is the current value, although not sure if its worth 60B
Re: SpaceX to buy Cursor for $60B
#337$60B is a huge price, but buying Cursor gives Musk something xAI has struggled to build: a popular coding product with real developer and enterprise adoption. It may be the fastest way to catch up in AI coding. The real question is whether SpaceX ownership improves Cursor or drives its users away.
My sense is that enterprises are extremely cautious. They like everything that is already common and hr friendly. They abhor anything that might be seen as divisive and controversial. That's why they're currently going with Anthropic and not Openai or Xai or anything Chinese. It's the smaller actors that are using everything but Anthropic. Anthropic got that safe enterprise bland vibe. The only pr trouble Anthropic i…
Fable got halted by US make it a moot point but none enterprise is happy about the forced (and unannounced) 30-day data rentention
Re: SpaceX to buy Cursor for $60B
#338I'm genuinely excited for Cursor Composer 3. A Cursor model with Grok resources could compete with OpenAI and Anthropic.
Re: SpaceX to buy Cursor for $60B
#339"SpaceX told investors during the IPO process that it sees an addressable market for AI products worth $26 trillion, roughly equivalent to U.S. GDP." This is unhinged.
>> AI products worth $26 trillion, roughly equivalent to U.S. GDP."
> This is unhinged.
The only way for Musk to become a quadrillionaire is hyperinflation. And a week later, we'll be quadrillionaires too!
Re: SpaceX to buy Cursor for $60B
#340[flagged]
It won't be expedited into S&P.