No One Is Saying the Quiet Part Out Loud About Spacex Cursor Deal

The quiet part about cursor-spacex deal

• acknowledgement of the risk that cursor like vscode wrapper have no advantage if they dont have their own models or not part of larger software bundle like Microsoft is part of
• the $10B in cash will never be paid and it will go to court and be settled for lower amount
• the xai lesson is ai talent is not sticking around with Elon, if making the best coding model is the goal, why not hire the best talent to do that? you can even acquire gitlab for data for cheap
• xai inspite of having the compute in the compute-scare economy cannot use it effectively and needs other teams coming in to create cutting edge LLMs? it seems like xai has a talent retention problem
• numbers dont matter, narratives do. we are in a narrative economy. and there is no great narrative with out ai right now. so if you are trying to take a company public, for a price that is not based on numbers but on narrative, its good to have a nice ai story attached with it. its not a co-incidence that this deal is coming months before spacex ipo
• winners and losers - who won? the answer is both cursor and spacex - but then who lost - the retail investors who will have to buy the spacex stock, whether they like it or not from their 401k