Elon Musk negotiates deal with Cursor to power Grok AI assistant, betting $60B to compete with ChatGPT

SpaceX and Musk's X are in talks to either acquire Cursor outright or form a partnership to integrate Cursor's code-writing capabilities into Grok, Musk's AI chatbot that currently lags behind OpenAI's ChatGPT in usefulness and user adoption.

Cursor is a code editor (a specialized text editor for programmers) that uses AI to autocomplete and debug software — similar to GitHub Copilot but often faster at fixing broken code. Adding this to Grok would let Grok handle complex programming tasks that today require human developers to write and test code.

For software developers and tech teams: if Grok gains Cursor's coding abilities, they'd have a free or low-cost alternative to paid AI coding tools from GitHub and Anthropic, potentially cutting tool spending. For businesses using X/Twitter, Grok could become a multi-purpose assistant for writing, analyzing data, *and* writing code — reducing reliance on multiple separate tools.

This deal is not yet finalized; Musk has stated his interest but no public announcement of completion has been made. Watch for an official statement from Musk or Cursor's founders confirming the partnership or acquisition terms.