OpenAI told SpaceX that it intends to wind down the contract that supplies OpenAI models to the Cursor IDE, proposing November 12, 2026 as the shutdown date. The company said it is providing the maximum notice allowed under the contract to give developers as much time as possible to retain access to its models through Cursor.
OpenAI described the decision as difficult, noting that it values broad developer access to its models. However, the company said it cannot be confident that SpaceX will use its technology in accordance with OpenAI’s terms of service, citing prior contract breaches by companies associated with Elon Musk.
Background
- OpenAI said that working with a large partner like SpaceX typically requires bespoke agreements to ensure compliance with its terms of service and to provide safety at scale.
- After Elon Musk acquired Twitter — now described as part of SpaceX in OpenAI’s statement — OpenAI says the company violated the terms of its contract, along with other agreements.
- OpenAI also referenced Musk’s sworn testimony earlier this year that xAI, which OpenAI says is now part of SpaceX as well, violated OpenAI’s terms of service.
What this means for Cursor users
Under a change-of-control clause in their custom agreement with Cursor, OpenAI has a limited window in which to cancel the contract. The company said it will not provide future models to Cursor — specifically naming its upcoming model Astra — but will delay contract cancellation until the latest date permitted by the agreement so developers have more time to transition.
OpenAI noted it has worked with Cursor for nearly four years and expressed respect for Cursor’s team and product. The company acknowledged that developers who rely on OpenAI models within Cursor are the most affected by the decision and said it will go above and beyond to support them during the transition.
Summary
OpenAI plans to end provision of its models to Cursor with a proposed cutoff of November 12, 2026, citing concerns that SpaceX would not adhere to OpenAI’s terms of service after its acquisition-related changes. The company will not make future models such as Astra available via Cursor but is giving the maximum contractual notice and pledging support to impacted developers.
