OpenAI ends partnership with cursor amid escalating conflict with Musk

OpenAI announced on Friday that it will terminate its partnership with Cursor, the AI coding tool now owned by SpaceX, marking a new escalation in its dispute with Elon Musk. The company cited a lack of trust in SpaceX's adherence to OpenAI's terms of service, pointing to past breaches by Musk's companies, including X and xAI. OpenAI proposed a cutoff date of November 12, 2026, the maximum allowed under the agreement, and emphasized its desire to maintain developer access while ending the contract. SpaceX acquired Anysphere, the startup behind Cursor, earlier this month. Musk responded on X, calling Altman and Greg Brockman 'untrustworthy' and reiterating his claim that they stole an open-source nonprofit. Meanwhile, Anthropic, a competitor with a partnership with SpaceX, announced increased compute support for its Claude models within Cursor. The dispute, which has spanned years, includes a $150 billion lawsuit by Musk against Open, which was dismissed earlier this year.