SpaceX’s $60 Billion Cursor Deal Fuels Startup M&A Frenzy

SpaceX just rewrote the startup acquisition record with a $60 billion deal for Cursor and its parent, Anysphere. That’s nearly double Google’s previous high-water mark of $32 billion for Wiz. The Cursor purchase alone accounts for about half of the $119.8 billion spent acquiring U.S. venture-backed startups so far in 2026.

This year’s activity is unprecedented. Dealmakers have announced or closed 313 mergers and acquisitions in tech and adjacent sectors in just the last two weeks, racking up a combined value over $155 billion. Technology and AI acquisitions now make up 44% of that volume by dollar value.

Big deals dominate. SpaceX’s $60 billion purchase of two AI coding firms—Cursor and Anysphere—sets the tone. Qualcomm is in talks to buy AI chip startup Modular for roughly $4 billion. Salesforce agreed to pay $3.6 billion to acquire AI customer service platform Fin. Capital One acquired Brex for $5.15 billion.

Biotech is also booming. Half of the top 10 U.S. startup acquisitions in 2026 involve biotech companies, with deal values ranging from $2 billion to $7 billion. Eli Lilly is a major player, acquiring Kelonia Therapeutics for up to $7 billion in cash, as well as Orna Therapeutics and Ajax Therapeutics for $2.4 billion and $2.3 billion respectively.

Global startup M&A is on track for a record $4 trillion this year—the highest since 2021. Deals worth $5 billion or more now make up nearly half of all activity, up from 39% in 2025 and just 26% in 2024. Deal volume spikes on June 16 and 19 with 44 and 48 deals respectively, driven by megadeals and shifting market sentiment.

AI is the undisputed driver. Of the 313 recent deals, 79 involved at least one AI-focused company—25.2% of total volume. AI is reshaping how capital flows and which sectors win or lose. “AI is intensifying the K-shaped M&A market and forcing dealmakers to radically rethink how deals get done,” notes Brian Levy. PwC adds that AI could eventually make private markets more liquid by making assets easier to evaluate and trade.

Outside the U.S., India’s startup exit value surged past $1 billion in 2025, from about $65 million the year before. L’Oreal led the charge by acquiring a majority stake in Indian startup Innovist, valued between $350 million and $450 million. That’s the largest direct-to-consumer deal in India. Other notable acquisitions include NXP Semiconductors’ $307 million purchase of Kinara, Marico’s buys of 4700BC and Cosmix, Meesho’s acquisition of KiranaClub, USV’s purchase of Wellbeing Nutrition, and Pine Labs’ acquisition of Shopflo.

In short, 2026 is not just another M&A year. It’s a megadeal bonanza driven by AI and biotech, with startup valuations and deal sizes soaring. If these trends hold, the startup acquisition landscape will never look the same.