OpenAI will terminate its contract with AI coding tool Cursor on November 12, 2026. The decision follows SpaceX's recent acquisition of Cursor’s parent company, Anysphere.

OpenAI cited concerns that an Elon Musk-led company would not adhere to its terms of service. The organization referenced alleged past contract violations by Musk’s other ventures.

Musk responded on X, stating he couldn't care less about the termination. This move intensifies the ongoing rivalry between Musk and OpenAI leadership.

Cursor will now utilize models from Anthropic and its own in-house systems.