IPO filing sets the stage for record stock offering

SpaceX announced in April that it had the right to acquire coding startup Cursor for $60 billion later this year or pay $10 billion for the work the two companies are doing together. In Wednesday’s filing, SpaceX detailed that it has no obligation to purchase or pay for Cursor.

SpaceX plans to pay $60 billion worth of Class A shares to acquire the company, according to the filing.

If no deal is reached, Cursor could receive a $1.5 billion termination fee and an $8.5 billion deferred service fee, to be paid in cash or Class A stock if SpaceX is not publicly traded by the time the fee is paid.

SpaceX can exercise the call option to acquire Cursor within 30 days of September 30 or seven business days after the IPO, whichever comes first.

As of Jan. 31, Cursor had $2.7 billion in cash and equivalents and $550 million in debt, according to filings.

— Jordan Novett

As part of the computing deal the two companies announced earlier this month, Anthropic will pay SpaceX $1.25 billion a month through May 2029, according to filings.

The AI ​​company will use all of the computing power at SpaceX’s Colossus 1 data center in Memphis, Tennessee, the companies previously announced. Anthropic will have access to more than 300 megawatts of computing power and will have an “expression of interest” in working with SpaceX to develop multiple gigawatts of capacity in space.

SpaceX said in its IPO filing that production capacity will increase at reduced rates in May and June of this year. Either company can terminate the agreement with 90 days’ notice, according to the filing.

–Ashley Caputo

SpaceX said its first-quarter sales rose 15% to $4.69 billion from $4.07 billion in the same period last year. Overall revenue last year increased 33% to $18.67 billion.

The company posted a net loss of $4.28 billion in the latest quarter, after posting a net loss of $4.94 billion in 2025.

—Laura Kolodny

Musk owns 849.5 million Class A shares and 5.57 billion Class B shares, controlling 85% of SpaceX’s voting power, according to Wednesday’s prospectus.

No other person or entity other than Musk owns more than 5% of the stock.

— Jordan Novett

Musk merged SpaceX and xAI in February to create a combined entity valued at $1.25 trillion at the time.

teslaMusk’s electric car company has a market capitalization of about $1.6 trillion and was previously Musk’s main source of liquid assets.

In a statement announcing the SpaceX and xAI merger, Musk said the partnership aims to build “the most ambitious vertically integrated innovation engine on Earth (and beyond), featuring AI, rockets, a space-based internet, direct communication between mobile devices, and the world’s most advanced real-time information and free speech platform.”

But by April, Musk acknowledged that the technology underlying xAI and its AI chatbot and image generation feature Grok was “not built right from the start” and needed to be “rebuilt from the ground up.”

Grok was supposed to be xAI’s answer to ChatGPT, Gemini, and Claude, but it remains a niche player. Grok enabled the widespread creation and sharing of explicit, non-consensual deepfakes based on photos and videos of real women and children, sparking lawsuits and investigations in the US and Europe.

As part of SpaceX’s overhaul of xAI’s business and technology, the company last month struck a deal to acquire Cursor for $60 billion or pay a breakup fee of $10 billion. The deal is expected to proceed after SpaceX stock begins trading.

SpaceX also operates as a so-called neocloud, lending xAI’s computing power at its Colossus 1 data center in Memphis to Anthropic.

—Laura Kolodny

SpaceX is based in Texas along the Gulf Coast. Musk said SpaceX will move its headquarters from Southern California to Boca Chica, Texas, in 2024, where the company will build and launch rockets.

Last year, SpaceX successfully transformed Boca Chica into an official corporate city called Starbase through an election. According to the Texas Tribune, about 500 people lived in the area at the time, including SpaceX employees.

Starbase’s official website describes the town as a “gateway to Mars” and a “launch site unlike any other location on Earth, where humanity’s future in space will unfold before the public’s eyes.”

Bobby Peden, who worked for Musk’s rocket maker for about 13 years, was elected last May and became the town’s first mayor.

SpaceX is planning the 12th test flight of its giant Starship rocket to launch from a new pad at its Starbase facility as early as May 21.

“Starship development, manufacturing, testing and launches currently take place at Starbase, home of SpaceX headquarters and one of the world’s first commercial spaceports designed for orbital missions,” the prospectus states.

As the San Antonio Express-News reported Monday, SpaceX is currently under investigation by the Occupational Safety and Health Administration after the death of an unidentified worker at its Starbase facility on May 15.

— Laura Kolodny