On August 19, 2026, Bloomberg reported that SpaceX approached AI coding startup Cognition about a potential acquisition to bolster its enterprise AI strategy. Cognition CEO Scott Wu swiftly denied the report, stating that the company is not for sale and no talks have occurred. The approach follows SpaceX's recent $60 billion acquisition of Cursor. Despite the denial, reports suggest the two companies are discussing a partnership for Cognition to use SpaceX's excess computing capacity.
SpaceX acquisition approach to Cognition
- ▪Bloomberg reported on August 19, 2026, that SpaceX approached AI coding startup Cognition about a potential acquisition, which would be its second major AI takeover in recent months.
- ▪According to Bloomberg's sources, Cognition did not engage with SpaceX's acquisition approach, and the acquisition talks are no longer active.
CEO Wu denies acquisition talks
- ▪Cognition CEO Scott Wu stated that no talks regarding an acquisition or sale have taken place between Cognition and SpaceX.
- ▪Cognition CEO Scott Wu denied the acquisition reports on August 19, 2026, stating on X that the story was inaccurate and that Cognition is not for sale.
Cognition independence stance
- ▪Cognition CEO Scott Wu previously stated in May 2026 that a $1 billion funding round allowed Cognition to remain independent and continue operating as an independent business.
- ▪Cognition remains one of the largest independent AI software coding startups that has not been acquired by a major AI model developer.
SpaceX enterprise AI strategy
- ▪SpaceX's AI division has faced challenges in attracting enterprise clients due to controversies surrounding xAI's Grok chatbot, including content issues and nonconsensual imagery scandals.
- ▪Elon Musk told SpaceX employees in August 2026 that artificial intelligence would represent 99% of the company's value in four or five years.
- ▪SpaceX completed a $60 billion acquisition of AI coding startup Cursor in August 2026, following its acquisition of xAI and a June 2026 initial public offering.
Cognition funding rounds valuation
- ▪Cognition is in preliminary discussions for a new funding round in August 2026 that could value the startup at approximately $40 billion.
- ▪Cognition raised $1 billion in late May 2026 at a valuation of $25 billion or $26 billion.
Potential compute infrastructure partnership
- ▪SpaceX sells its excess computing capacity to other artificial intelligence market participants, including Anthropic, when not needed for its own projects.
- ▪Bloomberg reported that SpaceX and Cognition are discussing a potential partnership where Cognition would use SpaceX's computing capacity.
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