SpaceX acquires Cursor, bundles with Grok 4.6 model and Design Mode interface

Cursor announced its acquisition by SpaceX, completing a partnership that began in April. According to Cursor's announcement, the company will gain access to SpaceX's GPU fleet to build more capable models at lower cost, with Grok 4.6 released Wednesday as an early demonstration. Cursor also released Design Mode, allowing developers to annotate visual elements and direct agents through the Cursor browser without leaving the running product.

Update (2026-08-17): SpaceX officially completed its acquisition of Cursor for approximately $60 billion, integrating the AI coding editor into its xAI division, according to TechCrunch and Engadget. C...