Is USD just Monopoly money now?
👨🚀🔫👨🚀
The last guardrail the US had was Jerome Powell.
You can use US$ to Warsh your ass from now on.
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.
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.
$60 billion.
Minecraft was acquired for 2.5 billion in 2014.
Okay, that put things into scale for me.
Almost like someone is lying about the inflation numbers for the past decade
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.
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.
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.
While it is nowhere near the value Elon paid. It is a tool for easy coding with ai. Like the others thousands that out there. I mean spacex buying companies left and right at prices that make no sense is weird. Spacex being valued that much when all they do is burn money at a rate of several states is confusing.
Elon getting richer by the second with all that nonsense is suspicious…
Maybe he’s buying with overvalued useless SpaceX stock. SMH
Ding ding
It’s probably gonna be fine, Elon is just doing what Grok tells him to at this point
I mean even grok says that he is trying to manipulate the stock market.
/s*
He is buying the users that cursor had. But these users can switch to another AI harness any day they wanted to.
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 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
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.
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.
Nazis buying up more shit. Fuck all these clowns. Free Luigi.
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.
The US economy is just cooked, none of it is real or makes any sense.
Hello, 1929 crash out upcoming.
Sure would like some food, affordable housing, and healthcare…
They entered into an agreement to buy Cursor, with an expected time for the merger in Q3. It’s an all stock transaction, the number of shares that will depend on the SpaceX share price, to make up the 60 billion USD. Also they will pay in Class A shares (so the shitty ones with nearly no voting power)
Very interesting. It doesn’t really make sense to “buy users” imo. Devs jump over to the current best offerings.
We are moving away from cursor. Got too expensive
Interesting, where are you moving to?
We are looking into open router and kimi 2.7, mimo, glm 5.2 models.
You can still use opus/sonnet models all the same, they are just wicked expensive.There are tools like opencode and kilocode for coding.
I had to move to Kimi K2.6 because Claude models are too expensive to use. BYK from OpenRouter. I have not tested GLM models.
As they stop subsidizing, everything is going to get more and more expensive until they price everyone out. If they are actually “selling shovels for a gold rush,” they are cooked. A lot of companies can’t afford to use Ai heavily anymore. Customers are going to dry up.
Exactly. It’s hilarious just couple days back our ceo pulled 4 devs out and congratulated us on spending 2k a month each and apparently blowing company limit, I’m now tasked with finding alternatives hahaha. Definitely openrouter and kimi 2.7 and glm 5.2 are on my roadmap. I will need to do a presentation for ceo
I am surprised that anyone who can make decisions realized the June Ai bill was going to be crazy. I was betting it would take until July, when the crazy June bill is charged, for companies to realize they can’t afford frontier models.
Have you tried composer-2.5? Supposedly it’s fast, decent, and far cheaper than sonnet.
It’s based on kimi 2.5. but since then kimi 2.6 and 2.7 came out already. Yeah I’ve used it
Didn’t fElon already try buying his way to an AI company then ruined it by being who he is? [searching] Yeah, he bought talent to put together the stupidly named “xAI” to make the offensively wrong did-you-even-read-the-book “Grok” which after three short years is so bad it’s not even on most LLM performance charts. Who knows, maybe fElon’s pedo pal in the WH will take out Anthropic, Google will give up for no reason, and the Chinese will also give up for no reason. Then everyone on Earth will spend more money than they have on Grok. $22,000,000,000,000 in revenue, EZ PZ!
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.
Yeah, SpaceX is done in terms of exploring space musk is just cashing it.
SpaceX is 80% an AI company. More now, after acquiring Cursor. The space stuff is only the reception desk.
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.
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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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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I’ve come to call it SpaceXitterAI
