OpenAI Cuts Cursor Loose Now That Elon’s SpaceX Owns It

Elon Musk

Sam Altman just cut Elon Musk off at Cursor, with OpenAI saying Friday it will stop supplying its models to the coding tool now that SpaceX owns it.

That’s the latest swing in a years-long fight that started when Musk helped found OpenAI, walked out, sued over the for-profit turn, and built xAI as a rival, while Altman’s lab kept treating Musk’s companies like a walking terms-of-service problem.

OpenAI told SpaceX it wants the contract wound down by November 12, 2026, using the maximum notice in the deal so developers are not dumped overnight. It said it cannot be confident SpaceX will stay inside its terms, pointing to Twitter after Musk bought it, now part of SpaceX, and to Musk admitting under oath earlier this year that xAI, also now inside SpaceX, had broken similar rules.

The custom Cursor agreement gives OpenAI a short window to cancel after a change of control, and it is holding that cancellation to the latest date it can while refusing to send future models, including Astra. OpenAI said it has worked with Cursor for nearly four years and still wants to help developers through the switch, which is a polite way of saying the people writing code are collateral in a fight between two billionaires who cannot stand each other.

Cursor’s Michael Truell said on X that his team is talking with OpenAI and that Cursor was an early believer the platform would stay neutral. Musk said he could not care less and called Altman untrustworthy.

This lands on Mac developers who live in Cursor, including plenty here, the same crowd OpenAI has been chasing with its Apple Messages plugin. Sam Altman spent this week telling Time his lab stumbled on product and research, and now he is drawing a hard line around Musk.