Why OpenAI Is Cutting Cursor Off From Its AI Models After SpaceX Acquisition And More
OpenAI has decided to wind down its agreement to provide AI models to Cursor, following the coding platform's acquisition by SpaceX, citing concerns over whether Elon Musk's companies will use its technology within OpenAI's contractual terms.
OpenAI said on August 28 that it had notified SpaceX of its intention to terminate the contract, with a proposed shutoff date of November 12, 2026. The company said it was giving Cursor the maximum notice allowed under its agreement so developers have more time to transition.
OpenAI said the decision was based on its experience with other Musk-owned companies and its concerns about contractual compliance. It specifically pointed to what it described as a breach of its agreement after Musk acquired Twitter, now part of SpaceX, and Musk's admission under oath that xAI had violated OpenAI's terms of service.
The company said Cursor itself had not been accused of violating OpenAI's terms. Instead,...
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