Elon Musk's SpaceX has agreed to buy Cursor, a San Francisco-based artificial intelligence coding startup, in an all-stock deal valued at $60 billion, expected to close in the third quarter of this year. Cursor (founded in 2022, its parent company is Anysphere) specialises in AI-assisted software development and was last valued at $29 billion during a November funding round, making the acquisition a significant premium. SpaceX says combining Cursor's software capabilities with its "Colossus" AI supercomputer will allow it to build what it calls "the world's most useful models," as demand surges for AI coding tools driven by the rise of so-called vibe coding — a practice where users build applications through natural-language commands rather than traditional programming.