OpenAI Ends Model Access for Cursor Following SpaceX Acquisition

OpenAI announced it will terminate access to its AI models on the coding platform Cursor, effective November 12, following SpaceX's acquisition of the company. OpenAI cited concerns over compliance with terms of service based on past disputes involving Elon Musk’s companies. Cursor CEO Michael Truell noted that about 5% of user traffic relies on OpenAI models and stated ongoing discussions are underway to address the issue. The decision reflects a broader conflict between OpenAI leadership, including CEO Sam Altman, and Elon Musk, who has been critical of OpenAI's shift from nonprofit to for-profit status. This follows SpaceX’s $60 billion acquisition of Cursor in August 2026. The move is part of an escalating legal battle where Musk claims OpenAI violated its founding principles by restructuring as a for-profit entity. This development occurs amid growing competition among AI firms, with both OpenAI and rival Anthropic preparing for potential IPOs. Anthropic recently blocked access to its models on another platform, Windsurf.

By Lora Kolodny · CNBC ·

OpenAI Ends Model Access for Cursor Following SpaceX Acquisition

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Topics: contract termination Cursor AI OpenAI SpaceX

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