Elon Musk addressed Cursor’s 1,000-plus engineers for the first time after SpaceX closed its $60 billion acquisition of the AI coding startup, and told them SpaceXAI has fallen behind. Musk said Grok is not the market leader and praised rival Anthropic. Cursor CEO Michael Truell now reports directly to Musk, staff are being folded into SpaceXAI teams, and 45 employees have left the company since April.