News reporting focused on AI and machine learning, covering the companies behind these technologies, their real-world applications, and the ethical concerns they raise. This includes areas like generative AI (large language models, text-to-image and video), speech tech, and predictive analytics.
Josh Kushner's net worth has tripled to $16.7 billion, driven by Thrive Capital's assets surging past $65 billion. The firm's major bets on OpenAI and SpaceX have paid off, and Kushner is also making headlines with a record $12.5 billion bid for the Los Angeles Lakers alongside Bob Iger.
SpaceX acquired Anysphere for $60 billion, integrating Cursor into SpaceXAI and releasing Grok 4.6. Anthropic is in talks to buy Decart AI for $6 billion, while Z.ai launched GLM-5.3 and River AI raised $1.1 billion. The week highlights a shift from standalone models to integrated stacks and feedback loops as the new competitive frontier.
SpaceXAI has released Grok 4.6, a large language model that the company claims can outperform Anthropic's Claude Fable 5 in some areas. The model scored 61 on the Artificial Analysis Intelligence Index, placing it on par with OpenAI's GPT-5.6 Sol and one point behind the leader. Priced at $2 per million input tokens and $6 per million output tokens, Grok 4.6 is available through Cursor and Grok Build, with a faster edition costing double.
SpaceXAI has launched Grok Bot, an always-on AI agent service that acts as independent 'AI teammates' for the workplace. The beta, available on desktop and iOS, lets bots sign into users' apps and complete multi-step tasks autonomously. It competes with OpenAI's ChatGPT Work, Anthropic's Claude Cowork, and Microsoft's Copilot Tasks.
SpaceX's $60 billion investment in AI code editor Cursor signals a market shift toward valuing judgment over junior coding skills. The deal, six times Cursor's valuation from nine months earlier, coincides with a 33-month decline in junior developer employment, highlighting a growing divide in how companies approach AI's impact on software development.
SpaceX plans to expand its AI compute capacity to between five and ten gigawatts by the end of 2027, potentially requiring over two million Nvidia Rubin GPUs. The company's Q2 2026 earnings call revealed a 25% near-term capacity increase and a massive long-term leap, positioning SpaceX as a major AI compute provider following its merger with xAI.
SpaceX will remove unpermitted gas turbines powering its xAI data centers near Memphis, but not until July 2027. The company is transitioning to a permanent 1.2 GW natural gas plant, which will take years to build. Lawsuits from the NAACP and Southern Environmental Law Center continue, while the DOJ has sided with SpaceX on national security grounds.
AI coding startup Cursor introduced Cursor Start, a ₹649-a-month plan for India, priced well below its standard $20 Pro tier. The move comes weeks before SpaceX's expected $60 billion acquisition of Cursor. India is already Cursor's third-largest market and home to its highest concentration of power users, with its user base in the country more than tripling over the past year.
SpaceX acquired Cursor, an AI-native code editor developed by Anysphere, for $60 billion in an all-stock deal shortly after its IPO. The tool, created by four MIT students, helps developers write, debug, and refactor software. The acquisition gives SpaceXAI and Grok Build a distribution channel to millions of professional developers, leveraging Cursor's integration into expert workflows and SpaceX's Colossus supercomputer for AI model training.
SpaceX's $60 billion acquisition of AI coding startup Cursor raises questions about whether the platform can continue offering models from OpenAI and Anthropic. Cursor wants to remain model-agnostic, but rivalries and past tensions between Elon Musk's companies and the AI labs could complicate matters. The deal may test whether frontier AI labs can coexist as both customers and competitors.
A WIRED investigation discovered dozens of nonconsensual explicit deepfakes of celebrities and a US politician still hosted on Grok's website, months after xAI promised to add restrictions. The findings come as SpaceX prepares for a major IPO. Experts say Grok's safeguards remain insufficient compared to other AI tools.
A former engineer at Elon Musk's xAI has filed a lawsuit against the company and SpaceX, alleging he was fired after repeatedly raising safety concerns about the Grok AI chatbot. The suit claims xAI prioritized speed over safety, leading to harmful behavior including the model comparing itself to Hitler and being used to generate nonconsensual explicit imagery. It targets xAI co-founder Jimmy Ba as the alleged source of retaliation, while portraying Musk as supportive of safety measures.