SpaceX will move forward with its $60 billion acquisition of artificial intelligence startup Cursor as Elon Musk's space exploration and AI company seeks a competitive edge against rivals Anthropic and OpenAI after its Wall Street debut last week.

SpaceX has agreed to buy AI coding start-up Cursor for $60bn (£45bn) just days after its bumper initial public offering (IPO). Elon Musk's rocket company will take over Anysphere, which makes the artificial intelligence coding agent.

Elon Musk’s SpaceX has overtaken Amazon to become the world’s fifth-largest listed company after a blistering post-IPO rally, as the newly public firm unveiled a $60bn (£45bn) takeover of AI coding start-up Cursor.

SpaceX will take over Cursor in a deal that values the artificial intelligence coding startup at $60 billion, as Elon Musk aims to catch up with rivals on coding tools. The deal is expected to close in the third quarter.

Shares of SpaceX surged Tuesday, pushing the Elon Musk-led company above Amazon and into a neck-and-neck race with Microsoft for the title of the world's fourth-most valuable public company less than a week after its blockbuster $75 billion IPO.

SpaceX had been eyeing Cursor for several months. The company said in April it had secured an option to either acquire the San Francisco-based company for $60 billion later this year, or pay $10 billion for a new partnership.