Key facts
- OpenAI is ending its contract to provide AI models to Cursor, a coding tool company.
- SpaceX, owned by Elon Musk, recently acquired Cursor.
- OpenAI cited previous contract violations by Musk's companies, including Twitter and xAI.
- The contract termination is proposed for November 12, 2026.
- OpenAI expressed respect for Cursor's team and product but cited concerns about SpaceX's adherence to terms of service.
OpenAI has announced plans to terminate its partnership with Cursor, an AI coding startup recently acquired by SpaceX. The AI firm stated it will shut down access to its models by November 12, 2026, citing concerns that SpaceX will not adhere to its terms of service, referencing past contract violations by Elon Musk's companies like Twitter and xAI. OpenAI described the decision as difficult, emphasizing its commitment to developers' access to its models, but stated it cannot be confident in SpaceX's compliance. This move follows SpaceX's acquisition of Cursor, which now works closely with SpaceXAI, the creator of Grok, a competitor to OpenAI's ChatGPT. The situation highlights the ongoing rift between Sam Altman and Elon Musk. Cursor's co-founder, Michael Truell, noted that OpenAI models serve about 5% of their user traffic and that they are in discussions with OpenAI to resolve the issue.