OpenAI terminates API access for Cursor code editor, sparking backlash from Elon Musk
OpenAI has announced plans to terminate API access for the AI-powered code editor Cursor by November 2026, citing contract compliance concerns following Cursor's acquisition by Elon Musk's SpaceX. In response, Musk heavily criticized OpenAI's leadership, calling CEO Sam Altman and President Greg Brockman untrustworthy. This decision intensifies the ongoing feud between Elon Musk and OpenAI, while potentially shifting Cursor's reliance toward rival AI models like Anthropic's Claude. It highlights how corporate acquisitions and legal disputes can directly disrupt developer tools and API access in the AI ecosystem. The termination is scheduled for November 12, 2026, triggered by a "change of control" clause after SpaceX completed its acquisition of Cursor's parent company, Anysphere. Meanwhile, Anthropic has offered to increase compute resources to support Cursor users running Claude models.
## BACKGROUND
Cursor is a popular AI-assisted integrated development environment (IDE) built as a fork of Visual Studio Code. Anysphere, the startup behind Cursor, was acquired by SpaceX in mid-2026, which triggered OpenAI's contract termination clause due to past legal and contractual disputes between Musk's entities and OpenAI.