SpaceX Soars Past Microsoft: A $60 Billion AI Acquisition Shakes the Market

SpaceX's Market Triumph

New Delhi: SpaceX has made headlines once again, achieving a remarkable milestone by overtaking Microsoft to become the fourth-largest company in the U.S. based on market capitalization. This surge comes alongside the announcement of a significant $60 billion acquisition of Cursor, an artificial intelligence coding platform.

During early trading on Tuesday, shares of the Elon Musk-led company surged by approximately 8%, elevating its market valuation to around $2.74 trillion.

This impressive gain not only positioned SpaceX ahead of Microsoft but also widened its gap over Amazon, which was valued at about $2.65 trillion at the same time.

The recent increase is part of an extraordinary trajectory since SpaceX's record-setting stock market debut last Friday.

After a staggering 20% rise on its first full trading day, the company's shares have continued to draw significant investor interest, marking one of the most closely monitored post-IPO performances in recent memory.

Investor excitement is fueled not just by SpaceX's core operations in space and satellite technology but also by its ambitious foray into artificial intelligence.

On Tuesday, the company revealed its all-stock acquisition of Cursor, a rapidly growing AI coding assistant valued at $60 billion.

Cursor has quickly established itself as a key player in the AI software landscape, providing tools that can autonomously generate and assist in software development.

The platform competes directly with prominent AI coding solutions like Claude Code and Codex.

According to SpaceX, Cursor is already utilized by 64% of Fortune 500 companies, underscoring its expanding impact in the enterprise software domain.

Earlier in April, SpaceX had announced its intention to acquire Cursor, a move expected to bolster its position in the fiercely competitive AI sector and enhance its software development and automation capabilities.

This acquisition is part of SpaceX's aggressive investment strategy in artificial intelligence, with the company reportedly spending around $12.7 billion on AI initiatives in 2025 and an additional $7.7 billion in the first quarter of 2026.

The Cursor acquisition stands as one of the largest AI deals the company has pursued to date.