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OpenAI terminates the Cursor model contract, Musk criticizes Altman

2026-08-31 08:33:04

OpenAI has notified SpaceX that it will terminate the contract to provide models for the AI coding tool Cursor it acquired, with a suggested termination date of November 12, stating that this is the longest notice period stipulated in the contract. OpenAI expressed that the decision was difficult, as it values the widespread use of its models by developers, but due to Musk's past breaches of contract, it does not trust SpaceX to use the technology as agreed, and mentioned issues related to the use of OpenAI models during xAI training and contract problems when acquiring X.

Musk stated on X that he does not care at all and referred to Sam Altman and Greg Brockman as frauds, accusing them of stealing from an open nonprofit organization. Musk was a co-founder of OpenAI but later filed a $150 billion lawsuit against OpenAI and lost due to exceeding the deadline. OpenAI had attempted to acquire Cursor's developer Anysphere but was unsuccessful, while SpaceX acquired Cursor for $60 billion, with the merger completed on August 15.

Michael Truel, co-founder of Cursor and now an executive at SpaceX, stated that Cursor views the OpenAI platform as neutral infrastructure and is negotiating with OpenAI, noting that OpenAI models account for 5% of Cursor's user traffic. Tom Brown, co-founder of Anthropic, stated that they will continue to expand computing power to provide the Claude model on Cursor.

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