While its biggest focus is the manufacture and launch of rockets with reusable parts, the company also manufactures and launches Starlink internet satellites, and is ramping up its presence in the AI race.Venture capitalist Eileen Burbidge told the BBC that many traders seem to be buying into a "well-marketed opportunity" to invest in Musk and his vision instead of doing so based on SpaceX's financial fundamentals.Some analysts have also highlighted that despite huge demand for SpaceX stock only around 4% of the shares are currently available to trade freely on the public market.Smaller shareholders may "end up paying a premium for stock now that gets diluted later" if institutional investors eventually sell their shares, Dan Sheehan from Telos Wealth Advisors said.Elon Musk's stratospheric rise to trillionaire status - in chartsSpaceX IPO raised $10bn more than thoughtSpaceX's stock market blast-off could be Musk's biggest gamble yetSpaceX and Cursor have been partners since April, when Musk's firm announced it had the right to either buy it for $60bn, or pay $10bn for the work they have done together.Like OpenAI and Anthropic, Cursor's technology uses AI to automate the process of writing code, one of the most prominent current uses for artificial intelligence.The tie-up comes as SpaceX tries to catch up with rivals by growing its AI business, xAI, which is behind the controversial Grok chatbot.Announcing the partnership in April, SpaceX said: "The combination of Cursor's leading product and distribution to expert software engineers with SpaceX's million H100 equivalent Colossus training supercomputer will allow us to build the world's most useful models."Cursor is used by major companies including Stripe, Adobe and Nvidia, whose boss Jensen Huang has described it as his "favourite enterprise AI service".SpaceX said the deal would be completed by the end of September, with Cursor's shareholders paid with $60bn worth of SpaceX shares.Elon MuskSpaceXInternational BusinessAmazon
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