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OpenAI Dumps Musk’s SpaceX Acquisition Like a Hot Potato on November 12

OpenAI Dumps Musk’s SpaceX Acquisition Like a Hot Potato on November 12
Photo by Drew Beamer on Unsplash

KEY POINTS

  • OpenAI announced on Friday it will end Cursor’s contract on November 12 due to distrust in Musk-owned companies.
  • Cursor was recently acquired by SpaceX for $60 billion, gaining access to its computing power before the shutdown.
  • The decision follows past violations by Musk’s Twitter, which had cut off OpenAI's data access earlier.

On a dramatic Friday night announcement that definitely didn’t cramp any SpaceX weekend plans, OpenAI declared it’s cutting off Cursor—a $60 billion AI coding startup recently adopted by SpaceX like a high-maintenance alien pet—because Elon Musk's companies have a traitorous track record of breaking contracts. Citing Musk’s history of Twitter-style data snatching (remember when he merged a social platform with a rocket company because 2023 wasn’t chaotic enough?), OpenAI refused to give Cursor access to sizzling future models like Astra. Ironically, Musk—OpenAI’s cofounder turned courtroom arch-nemesis—plans to appeal after a 2024 jury chuckled off his suit about their for-profit pivot. In true sci-fi corporate drama, this feud reads like a tech soap that writes itself.

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Source: Businessinsider | Published: 8/29/2026 | Author: Lloyd Lee

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