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OpenAI launches GPT-Image-2 as Cursor lands $10B deal with xAI, signaling shift in AI coding tool consolidation

OpenAI launches GPT-Image-2 as Cursor lands $10B deal with xAI, signaling shift in AI coding tool consolidation

OpenAI released GPT-Image-2, a new image generation model, while separately Cursor (an AI-powered code editor) secured a $10 billion contract with xAI and the option to acquire the company for $60 billion — marking the largest deal yet in the competitive AI developer-tools market.

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