OpenAI plans to stop supplying its AI models to Cursor after SpaceX acquired the coding-tool company, adding another chapter to the long-running dispute between Elon Musk and OpenAI chief executive Sam Altman.
OpenAI announced the decision on Friday, saying it had concerns about whether SpaceX would use its technology in line with the company’s contractual requirements.
The move further intensifies the rivalry between Musk and Altman, whose relationship has deteriorated over several years.
OpenAI Sets November Shutdown Date
OpenAI said it has proposed November 12, 2026, as the date when it will stop providing its models to Cursor.
The company said its agreement with Cursor gives it a limited period to terminate the deal after a change in ownership.
OpenAI also pointed to its previous experience with companies controlled by Musk.
“We cannot be confident that SpaceX will use our technology within our terms of service,” OpenAI said, citing what it described as previous contract violations involving Musk’s companies.
The company said large partnerships typically require custom agreements to ensure that technology remains compliant with its terms and operates safely at scale.
Musk Dismisses OpenAI Decision
Musk responded to OpenAI’s announcement on X early Saturday.
“I couldn’t care less,” Musk wrote.
He also accused Altman and OpenAI President Greg Brockman of being untrustworthy and repeated his long-standing claim that OpenAI abandoned its original nonprofit mission.
Musk and Altman have been locked in a public dispute for years.
Their conflict escalated into a major legal battle after Musk sued OpenAI and Altman, accusing them of abandoning the organization’s founding principles for financial gain.
A federal jury ruled against Musk earlier this year, finding that his lawsuit came too late.
Cursor Co-Founder Seeks Resolution
Cursor co-founder Michael Truell, who now works as a SpaceX executive, indicated that the two companies were already discussing the dispute.
Truell said on X that SpaceX was in talks with OpenAI’s team in an effort to resolve the issue.
That could leave the door open for negotiations before OpenAI’s proposed November deadline.
Cursor has become a major player in AI-assisted software development, making access to leading AI models an important part of its product.
Anthropic Offers Claude Support
The dispute also created an opportunity for OpenAI’s competitors.
Anthropic said it planned to increase computing resources to support its Claude models within Cursor.
Tom Brown, one of Anthropic’s co-founders, said the company would expand its compute capacity following OpenAI’s announcement.
Anthropic already has a relationship with SpaceX, putting its Claude models in a potentially stronger position if OpenAI ends its partnership with Cursor.
Musk and Altman’s Legal Battle
The latest dispute has its roots in the broader conflict between Musk and OpenAI.
Musk helped establish OpenAI but later became one of its most outspoken critics.
He has accused Altman and the company of betraying OpenAI’s original nonprofit purpose and pursuing commercial interests.
OpenAI, in turn, has argued that Musk sought greater control over the company.
The dispute reached court this year during Musk’s $150 billion lawsuit against OpenAI.
Although the lawsuit represented a major confrontation between the two technology leaders, the latest disagreement shows that their rivalry continues to affect their companies and business relationships.
SpaceX Completes Cursor Acquisition
SpaceX agreed in June to acquire Anysphere, the startup behind Cursor, in an all-stock transaction valued at about $60 billion.
The acquisition closed earlier this month.
The deal brought Cursor under SpaceX’s ownership and immediately raised questions about its relationships with other major AI companies.
OpenAI has now become the first major provider to announce plans to end its model supply to the coding platform.
For Cursor, the impact could depend on how quickly it expands access to alternative AI providers.
For OpenAI and Musk, meanwhile, the dispute adds another front to a rivalry that has already moved from business disagreements into the courtroom and public exchanges.
