Cognition targets $40B valuation as SpaceX snaps up rival Cursor for $60B

Cognition, valued at $25 billion in May 2026, is in early talks for a round at $40 billion — a 60% jump in under three months. Rival AI coding startup Cursor was acquired by SpaceX in a $60 billion stock deal that closed last week. Bloomberg also reported SpaceX attempted to acquire Cognition; CEO Scott Wu denied that on X, stating the company is not for sale.