SpaceX will acquire coding tool Cursor to compete with Anthropic, OpenAI
- Thread starter JournalBot
- Start date
Cursor's main business is selling an interface to the very companies competing with it (and against SpaceX I guess). They have in-house models... based on open-sourced Chinese models.
This looks like the flimsiest excuse of a merger I could think of. But modern American industry keeps surprising me... with how flimsy things can get. I'm starting to think the reason all these buzzwords are being heard everywhere all the time is because the facade is so hollow it's just echoing.
This looks like the flimsiest excuse of a merger I could think of. But modern American industry keeps surprising me... with how flimsy things can get. I'm starting to think the reason all these buzzwords are being heard everywhere all the time is because the facade is so hollow it's just echoing.
Upvote
82
(84
/
-2)
Maybe it's just me, but if I were going to have an IPO featuring an absolutes ass of an LLM, maybe I'd complete this kind of purchase before the IPO so the absolute ass of an LLM isn't so much of an issue?
Upvote
14
(17
/
-3)
$60bil sounds like a lot but when you consider how insanely overpriced spacex stock is currently it's all just funny money.
Upvote
89
(91
/
-2)
MilanKraft
Ars Tribunus Angusticlavius
I hear ya, but for now — unless you're solely at the mercy of your employer's 401K managed funds — it remains possible to at least set aside a large chunk of one's assets in a way that is minimally exposed to these index funds that over-indulge in AI companies (trying to ride the insanity wave).
When the crash hits I hope a bunch of these "fund manager" clowns are shit-canned for losing everyone's money, because they turned most "index" funds into "indexed, except that 25-40% of all assets are invested in 3 companies regardless of sector... but other than that, totally indexed." Greedy, short-sighted assholes.
Upvote
26
(26
/
0)
Back during the dot com bubble, I was one of those who didn't see it coming. But now, I feel like I have a ringside seat.
Upvote
40
(42
/
-2)
May SpaceX do its best impression of the F/A-18 that crashed in Washington, but without the pilot bailout and good chute.
Upvote
16
(17
/
-1)
Well, half of it is funny money (i.e. Elon's and his employees) though the rest is somebody's retirement funds, et. al. But hey Elon, I have an AI chatbot that just curses like a sailor when you ask it to do something. It's gotta be worth 1 or 2 Billion.
Upvote
13
(14
/
-1)
the problem I've seen with trying to avoid index funds is that the fees are much higher on the managed funds.
Upvote
16
(16
/
0)
With the Great Recession as an example. They will instead get massive payday bonuses. History may not necessarily repeat--but it frequently rhymes.
Upvote
21
(21
/
0)
Huh... I did not see that coming, though it makes a sort of "desperation" sense, I suppose (on both sides of the deal). Cursor made quite a splash a year or so ago, seriously eating into other's folks' lunches, but at the end of the day if you don't have the backing capital (as the article notes), you're just not going to keep up with the AI efforts funding by the big tech companies.
I still don't really see it going anywhere, though -- too many established players, too many habits already forming. The only way to make a dent is to make so attractive cost-wise that people are willing to jump away from whatever LLM+IDE they are already used to, and that's just problematic these days.
I still don't really see it going anywhere, though -- too many established players, too many habits already forming. The only way to make a dent is to make so attractive cost-wise that people are willing to jump away from whatever LLM+IDE they are already used to, and that's just problematic these days.
Upvote
12
(12
/
0)
This is great news. Soon you'll be able to crank out CSAM straight from your IDE.
Upvote
27
(30
/
-3)
The question then is what buddy is Musk bailing out with this purchase? After all he bailed out his brother on Teslas dime by buying solar city
Cause yeah, spending 60 billion on what amounts to an interface wrapper is wild. I'm sure they'll try the same "it's about their users" bull that was trotted out during the dotcom bubble
Upvote
24
(25
/
-1)
Unlike xAI people actually use cursor. I think the plan is buy stuff that let's you keep doing the smoke and mirrors show of $1tn value because of AI. Because xAI's other offerings are laughing stocks. The only reason Elon has revenue is he overbuilt data centers and has tons of capacity to spare.
Upvote
21
(21
/
0)
While I don't want anyone to lose their retirement maybe this will finally be the catalyst for some real change for society. A guy can dream right?
Upvote
-1
(2
/
-3)
And how could they make it attractive cost-wise when everybody is cranking up the prices as the reality of gargantuesque costs just hit everyone recently?
Upvote
4
(4
/
0)
You damn well know a bailout will be involved.
Last edited:
Upvote
6
(8
/
-2)
I've been in a lot of spaces lately where everyone talks about their favorite AI platform for various tasks. Grok has never come up, not even once, not even as a tool they experimented with.
But even Cursor is not coming up - people are talking about Codex and Claude Code most often.
(Also, I'm hearing a lot about how easy it is to switch between these tools, so very little moat.)
But even Cursor is not coming up - people are talking about Codex and Claude Code most often.
(Also, I'm hearing a lot about how easy it is to switch between these tools, so very little moat.)
Upvote
12
(12
/
0)
I keep on hoping for the AI bubble to burst but it keeps on not bursting. I've been slowly losing hope that it will and this is the new normal, but is this a sign? I don't want to get my hopes up, but $60 billion (with a B!) for goddamn Cursor is completely ludicrous. That's more than the current market cap of Ford. I know it's apples to oranges because of growth stocks vs non-growth and whatever, but that's also not too far off of what Microsoft paid for Activision.
I mean....what?
I mean....what?
Upvote
28
(29
/
-1)
Hey, it's mine too! But I'd rather see my 401k take a massive hit than see the robot-cultists' Reverse Butlerian Jihad succeed in its crusade against humanity!
Upvote
3
(5
/
-2)
Now that these entities are going public though the pressures can rapidly change if investors are watching their investment burn down each quarter, reducing the assets and value of their equity by negative cash flow and possibly compounded if the entity tries to raise additional capital by issuing debt or further shares, both of which dilute the value to current stakeholders.
Losses for a public company will spook the market in a way that losses inside of a private equity black box will not
Upvote
4
(4
/
0)
Vibe coder lacks critical thinking to see why Musk gaining wealth and power is bad: Film at 11.
Upvote
32
(36
/
-4)
Steve jobs being a bit of a jerk in his life is a far cry from "questionable human" let alone compared to the carnage Musk has wrought in our society. Last I checked Steve Jobs never killed starving children or helped elect a fascist madman
Upvote
53
(55
/
-2)
That’s like praising Hitler for Autobahns and the V2 rockets: he was not the actual “genius” behind them, and also it’s fucking Hitler.
Plus, none of the businesses are doing so good, and Tesla is miserably crashing. So, remember:
Upvote
37
(38
/
-1)
I'm sure having Cursor now run by the guy that brought us Mechahitler the CSAM generator will be fine. It's not like his other acquisitions have turned into nazi bars or anything... but space! or mars! or something...
Upvote
13
(14
/
-1)
You mention “Elon hate.” But this phenomenon isn’t so much a choice as a natural, beneficial, visceral reaction. Like avoiding the smell of rotting carcasses.
Upvote
31
(33
/
-2)
Upvote
2
(2
/
0)
Despite the IPO the S&P 500 is excluding it for at least 12 months, so the money for this deal is unlikely to come from retirement funds.
Upvote
9
(9
/
0)