SpaceX

Illustration for the Grok Memphis outage story

SpaceXAI's Memphis facility took Grok down for 3.5 hours

SpaceXAI said a failure at its Memphis compute center starting around 6:30 AM Pacific on September 3 took Grok offline for about three and a half hours across X and its apps. The company also apologized to unnamed impacted compute partners. Claude and ChatGPT suffered outages the same morning; Anthropic has a compute leasing deal with SpaceXAI, per Engadget, though neither Anthropic nor OpenAI confirmed or denied any connection to Memphis. Elon Musk promised corrective action.

Illustration for the OpenAI and Cursor traffic share story
productsmoney

OpenAI models turn out to be about 5 percent of Cursor's traffic

After OpenAI announced it would end Cursor's model access on a proposed date of November 12, 2026, Cursor CEO Michael Truell said OpenAI models account for about 5 percent of Cursor's AI traffic. OpenAI cited Elon Musk's history of breaking contracts, including ending Twitter's data-sharing deal with OpenAI and allegedly training Grok on other labs' model outputs. Musk responded that he could not care less. Anthropic co-founder Tom Brown called Cursor a trusted partner since Sonnet 3.5 and pledged to keep expanding Claude compute for Cursor.

Illustration for the OpenAI and Cursor story
productspolicy

OpenAI will cut off Cursor's model access on November 12

OpenAI said on August 28, 2026 that it will end the deal giving Cursor direct access to its models, with a proposed shutoff on November 12. The reason is not Cursor itself but SpaceX, which acquired the coding tool: OpenAI says it cannot be confident SpaceX will stay within its terms of service, citing past violations by Musk-owned companies. Cursor CEO Michael Truell said OpenAI models are only about 5 percent of Cursor's traffic and that the two teams are still talking.

Illustration for the SpaceX Cursor acquisition story
moneyproducts

SpaceX closed its $60 billion purchase of Cursor maker Anysphere

SpaceX completed its $60 billion acquisition of Anysphere, the company behind AI code editor Cursor, on August 14, 2026. The all-stock deal converted Cursor's shares into roughly 389 million SpaceX shares, with Cursor becoming a wholly owned unit of the new SpaceXAI division. Both companies say no startup has ever been bought for more. Cursor gains access to the 200,000-GPU Colossus supercomputer and its team will also work on Grok products including Grok Build, Grok Bot and the Grok API.

Illustration for the Tesla and SpaceX Terafab chip plant story
chipsinfrastructure

Tesla and SpaceX confirm a $16.8 billion chip plant in Texas

Tesla and SpaceX confirmed on August 6, 2026 that they are building their own chip factory, called Terafab, in Grimes County, Texas. The initial investment is $16.8 billion with at least 3,000 jobs and a footprint of more than 100 million square feet, and total spend across all phases could reach $119 billion. The site is meant to combine logic, memory, advanced packaging and testing under one roof, serving internal customers: Tesla's Optimus robots and Cybercabs and SpaceX's planned orbital data centers. Texas extended a $30 million Texas Enterprise Fund grant to SpaceX for the project.

Illustration for the Musk $52 billion Nvidia denial story
infrastructuremoney

Musk calls a reported $52 billion Nvidia order fake news

Taiwan's Economic Daily reported that Foxconn had landed a SpaceX order for about 13,000 racks of Nvidia GB300 AI servers, nearly one million GPUs, which outlets priced at roughly $52 billion based on an estimated $4 million per rack. On July 20, 2026 Elon Musk called the report "fake news" on X. The figure was always an estimate built on an assumed per-rack cost, and no official source ever confirmed the deal.

Illustration for the Musk-Altman feud story
culture

Musk and Altman traded insults after Apple sued OpenAI

After Apple sued OpenAI for trade secret theft on July 10, 2026, Elon Musk posted on X on July 12 accusing Sam Altman of stealing Apple's phone technology, adding a jab about a parole officer and an invite to watch SpaceX's AI1 compute satellites fly next year. Altman shot back that Musk is 'selling public market investors on short-term space datacenters.' Behind the memes, OpenAI faces a federal lawsuit over its hardware program.

Illustration for the Musk power warning story
infrastructurechips

Musk's warning that AI will run out of electricity is becoming consensus

Speaking at the World Economic Forum on January 22, 2026, Elon Musk said electrical power is fundamentally the limiting factor for AI deployment, warning that with US generating capacity growing only 3 to 4 percent a year, the industry could soon produce more chips than it can turn on. Months later, data-center power deals and grid bottlenecks dominate the AI infrastructure conversation.

Illustration for the Musk on Anthropic story
culture

Musk admits he was wrong about Anthropic and calls it the leader

On July 9, 2026, Elon Musk posted on X that he was 'clearly wrong' about Anthropic: 'They are obviously currently the leader in AI. No company has released a model as good as Mythos/Fable and they will undoubtedly have Mythos 2 ready soon.' In February 2026 he had called Claude models 'misanthropic and evil.' Anthropic leases the full capacity of SpaceX's Colossus 1 supercomputer in Memphis, reportedly around $1.25 billion a month through 2029.

Illustration for the Open Secure AI Alliance story
securitypolicy

Nvidia formed a security alliance without OpenAI or Anthropic

On July 27, 2026, Nvidia announced the Open Secure AI Alliance (OSAA), uniting nearly 40 companies including Microsoft, IBM, Adobe, Cisco, Cloudflare, CrowdStrike, SpaceX and Hugging Face around open-source tools for defending against AI-powered cyberattacks. Contributions include Microsoft's multi-agent vulnerability scanning framework, Hugging Face's Safetensors format, and IBM and Red Hat's signed patching system. The alliance formed days after the Hugging Face breach, and OpenAI, Google and Anthropic are notably absent.

Illustration for the SpaceX first public earnings story
money

SpaceX set its first public earnings report for August 4

SpaceX reports its first quarterly results as a public company on August 4, 2026, with shares trading below the $135 IPO price and roughly 43 to 48 percent below their June 16 highs. Two trading days later the first lockup tranche opens: up to 911.5 million shares, worth more than $100 billion at recent prices, become sellable.

Illustration for the SpaceX orbital data centers story
infrastructure

SpaceX is recruiting engineers to build AI clusters in orbit

On August 1, 2026, Elon Musk posted that SpaceX is recruiting engineering and skilled trades talent to build and operate 'the most powerful AI supercomputer clusters on & off Earth', with applications sent to datacenters@spacex.com. The case for orbital data centers is near-continuous solar power in sun-synchronous orbit; the hard part is cooling, since radiators shed only about 600 watts per square meter.

Illustration for the xAI reorganization story
moneyculture

Musk staffs xAI with Starlink loyalists before a huge listing

A Bloomberg feature based on interviews with about a dozen people familiar with xAI reports that after SpaceX absorbed the company, dozens of employees left, including most cofounders, and Musk redeployed trusted lieutenants from Starlink and Tesla. Longtime Starlink executive Michael Nicolls became xAI president in April with a mandate to catch up with Anthropic's Claude. Per SpaceX's IPO filing, xAI posted a $2.47 billion operating loss on $818 million of revenue in Q1 2026, with AI capex of $7.7 billion in the quarter; the combined listing targets a valuation around $1.25 trillion.