Cursor is raising at a $50 billion valuation (3 minute read)

Elon Musk just pulled two of Cursor's product leaders into a $1.25 trillion company and told them to build xAI's coding product. AI coding is now a $5B+ market. xAI is the only frontier lab without a coding product printing money. AI labs have figured out that developers are the highest-willingness-to-pay users on the planet.