Because all space companies need a social network and an ai coding company. It just makes sense. And your pension needs to buy this very logical company because it’s large enough to be in the index.
SpaceX is 80% an AI company. More now, after acquiring Cursor. The space stuff is only the reception desk.
SpaceX is 100% a bullshit company. FTFY
This is the sort of comment where I wish Lemmy had the option to block everyone who upvoted it.
edit and I wish the ones who downvote this also blocked me
“We do social media, rockets, and AI” Yes this company is a very logical well thought out entity who’s losing $3 for every $1 we make. We are growing only at 33% a year, yet are valued at 25x other companies with better growth and actual strategies . If you believe this shit I’ve got a bridge to sell you.
Only loosing 3x more than they make!? That’s a gigantic success by modern standards.
The original Founders had a lot of good ideas and did a lot of hard work. Unfortunately they let a clown come in and take them over and turn everything into a circus. Where people can say that sort of thing 100% accurately now. Tesla and SpaceX are both punch lines realistically anymore as is Twitter.
You realize Elon is the founder of SpaceX.
The lead who designed the merlin engine turned down being a founder as he wanted a stable income vs the low pay and risk of working for equity/founder status, so he was an employee. (Edit and I don’t blame the guy for that choice either, odds of a private rocket company succeeding was incredibly low)
SpaceX is not a punchline.
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SpaceX is an infrastructure company. Deeply dependent on government good will and contracts. It leases it’s data center compute to actual AI companies.
They aren’t deeply dependent on government contracts anymore. Starlink will be able to support them. Government good will, id say yes.
Starship is currently a money pit on the launch side, and will make or break that the company depending on if it works.
Its leasing excess capacity, but that might not always be the case, but IMO that business model is probably better than the selling an LLM model one, but if you run out of people willing to lease it, youre still left with a pile of hardware you gotta do something with.
If they stop leasing, xAI becomes a money pit too.
I agree. But suffice to say if NASA walks away from SpaceX because they fail to deliver, it’ll make an outsized dent to their perceived value.
For sure, if something happened and NASA walks away, or reduces their interactions with SpaceX that will have ripple effects beyond what they currently provide.
This truly is the weirdest timeline. The only division of this shit company that brings in any money is the space and rockets division. However, the technology divisions are a money pit.
brings in any money is the space and rockets division
Not even that. Only StarLink brings in profit.
I’ve come to call it SpaceXitterAI
Isn’t the only part of company which is profitable space stuff?
Starlink specifically makes money. The rockets just blow money up.
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Is USD just Monopoly money now?
👨🚀🔫👨🚀
Always has been.
Wilson brought back the US Central Bank (aka the Fed). Andrew Jackson killed the bank to free us from their clutches.
Nixon killed the gold standard so we could be the worlds central currency printing press and export inflation to the whole world and bully everyone into submission and extract their resources.
Wall st finished the financialization and commoditization of everything on the world so they could own it and gamble with the future while everyone else pays the bill.
The last guardrail the US had was Jerome Powell.
You can use US$ to Warsh your ass from now on.
$60 billion.
Minecraft was acquired for 2.5 billion in 2014.
atleast minecraft actually worth that much, probably
It’s actually worth wayyy more. Microsoft already broke even just 2 years later (2016). It’s estimated they made 8.5B total since acquisition.
Cursor will likely never make 8.5 billion let alone 60.
But Microsoft didn’t plan on that. They only bought Mojang because they needed to launder offshore money from Europe.
In case you guys haven’t figured it out, Musk is just a tool of Wall Street, whether these companies make money or not is completely irrelevant.
I kinda remember reading how the purchase of Macromedia by Adobe was like the biggest acquisition ever at 6 billion or so back in the late 2000s.
“Cursor, help me figure out why this request is failing with a CORS error.”
Thinking…
Reviewing sources…
- “Elon Musk on X”
- “Elon Musk Twitter acquisition” townhall recording
- “Programming best practices” and “Elon Musk”
Done.
It looks like everything needs to be thrown out and redone. The whole stack. It’s not good, it’s bloated, it was made by overpaid salary workers.
“What’s wrong with the stack?”
The whole stack. Just the stack. All of it.
Local coding LLMs are going to be the hot new commodity this year.
Harnesses for them is the key for me. Check out llama conductor
https://codeberg.org/BobbyLLM/llama-conductor
Smaller models being used more efficiently.
Have you looked at hardware prices?
Perhaps I’m missing something, but isn’t Cursor simply a VSCode fork with some AI extensions integrated into it? Hate aside, what is the actual technical value of the product?
Early on in the AI game, before Vibe Coding was even a term, Cursor was the only tool that could connect VsCode to an AI model. Since then, there are now dozens of tools to do this for you. Cursor basically has no unique features, the only value it has as a company is an existing userbase and an established dev team. The worst part is that they are built on top of VSCode, which means their existence hinges on Microsoft benevolently sharing one of their most valuable products, and Microsoft has made several moves to try to kill the Cursor userbase and bring them back to VSCode.
Cursor is one of the worst investments you could make right now. It’s surrounded on all sides by rivals trying to eat their lunch, and they have basically zero IP to protect their market advantage.
Even back then, copilot already existed if you didn’t mind choosing one of their models. Cursor was at most 2 months ahead in features, but already charging twice as much as copilot.
Haven’t used cursor but I assume it’s like other harnesses where the special sauce is in how it manages context, schedules sub agents, feeds them context, enforces standards, uses tools and skills etc. that make it better then just directly prompting the model.
For example you prompt opus directly with “refactor the auth flow” and it’s going to try and “one shot” it and produce the code from that prompt. Whereas a harness has instructions to say
- Research the current implementation
- Search the web for standards
- Ask the user questions on how they want to do it …
Which produces way better results
Claude code’s harness isn’t the best, but it’s still better than just promoting the model directly. One thing cursor has going for it is the vector embeddings of your codebase to make the harness more token efficient, but I still switched from cursor to managing parallel Claudes in cmux a few months ago and have had little reason to go back.
They have their own model called Composer that’s specialized for coding.
Personally, I think generic Opus 4.8 beats it, but it is quite cheap and fast. I used Composer via Cursor for a few months in late 2025. I hear they have improved the model somewhat since.
It’s fine-tuned Kimi 2.5
They didn’t train this up for themselves.
It’s an OK model that is fast and cheap. It outperforms other models of the same price class, but it’s nowhere near Frontier model capability.
They are also claiming to be training their own new model on SpaceX’s infrastructure. I don’t particularly trust them, but I’ll give the citation anyway just for additional info.
They don’t care at all about the vs code fork (probably his colossus data center with 89% vacancy can vibe code a clone in a few hours)
They care about the subscribed users and how they can enshittify their experience by removing access to Claude opus and introducing grok the Nazi vibe coder
Makes you wonder how sticky their product is though. I would just move to another product that has Claude if I suddenly had to use Grok.
imo not at all, like for the recent github copilot enshittification
users will groan and complain for a month then move to a different VS code fork, one year later nobody would even be able to remember the shape of the icon
This is just hog wash.
They are buying it for 60bn worth of SPCX Class A stock. This is Cursor’s board taking anything they can get for a company that has no future. Not a criticism against Cursor, but their market is standardising on Claude Code, and their value would rapidly head towards zero.
Class A stock has no voting rights. This is the investors of Cursor literally saying “being on Musk’s train to the moon is literally better than whatever future we have right now”.
The AI funding model.
True but they’re still making a bank and while the best exist was months ago the next best exit is now. I’d very happily take 60b worth of meme stock for a product with no future.
There goes all the money raised in the IPO.
Don’t worry, the losses will go straight to the retirement funds.
AFAIK it’s less than 10%. But it’s a start. 🤣🤣🤣
The IPO reportedly raised $85 billion
Valuation (which is where that “over $1 trillion” comes from) is a different thing entirely
Yes of course you are right, my bad.
The 1 trillion is an extrapolation.
I bet it will be a stock deal.
It was all stock. I dont know if it was at a pre determined price, or if they closed it at the intraday price on the day of though.
That’s also more shares that will be offloaded when insider blackout periods end
It “was” not anything, as it is still upcoming.
They will take a volume weighted average closing price of the seven previous days:
Interesting, so they’ve agreed to do it, but at the very least 7 trading days will need to pass to satisfy that, assuming the execution of the option is immediate.
I guess the earliest would be in July, because they also stated in the same document I linked:
The Company currently expects the Merger to close during the third quarter of 2026.
It’s a stock deal. At $2.5 Trillion valuation I’d say this is chump change.
Nazis buying up more shit. Fuck all these clowns. Free Luigi.
Why can’t he download cursor for free? What an idiot.
My cursor came free with my operating system, although I did have to buy my own mouse.
The US economy is just cooked, none of it is real or makes any sense.
Hello, 1929 crash out upcoming.
And they’re about to buy Tesla for an ungodly sum, sweeping another failure under the rug, this time with every index fund holder bailing them out.
Sure would like some food, affordable housing, and healthcare…
So the companies just get random values these days? It used to be that you actually had to generate some sort of profit before you were considered a valuable company.
I have my own business, so I just declared myself a billionaire. Now the government can send me billions in government contracts.
is a validation of the soaring interest in AI-assisted coding.
Sure, buddy. Whatever makes you feel better.
