SpaceX has moved ahead of Amazon in market value and now ranks as the world’s fifth most valuable company. The shift came after strong trading activity and fresh investor interest in the company’s fast growing tech and AI plans. The rise in value follows a major deal involving the purchase of the startup behind the AI coding app Cursor for about 60 billion dollars. The move shows how SpaceX is trying to grow beyond rockets and expand deeper into artificial intelligence and software tools. SpaceX shares rose sharply on the Nasdaq after trading opened. At one point, the company’s value reached about 2.97 trillion dollars. This briefly placed it ahead of Amazon, which stood near 2.65 trillion dollars at the same time. By the end of the trading session, SpaceX shares were still higher by about 5 percent. Its valuation settled slightly above Amazon at around 2.66 trillion dollars. The swing highlights strong investor demand but also fast changes in market prices. The company’s growth is linked to its wider business group led by Elon Musk. This group includes SpaceX, the AI firm xAI, the social media platform X, and the satellite internet service Starlink. Among these, Starlink is currently the only part that generates steady profit. The Cursor deal is seen as a key step in strengthening SpaceX’s AI strategy. Cursor is known for its AI powered coding tools that help developers write and improve software faster. The company has more than one million active users, making it a strong fit for enterprise AI growth. Analysts say the deal gives SpaceX access to valuable user data and developer behavior patterns. This data can help improve AI systems that write and understand code. It also supports xAI’s efforts to compete with leading AI companies in the market. SpaceX has been exploring a way to bring Cursor into its ecosystem for several months. Reports show the company once considered either buying Cursor for 60 billion dollars or forming a smaller partnership worth about 10 billion dollars. The final deal structure now moves forward as a full acquisition. Investors have reacted positively to SpaceX’s strong share performance. Some say the company’s high valuation makes large acquisitions easier because fewer shares are needed to fund deals. This reduces dilution for existing shareholders and supports further expansion. Market experts also point out that SpaceX is trying to build a stronger position in the AI coding space. This area has become highly competitive, with companies like Anthropic and OpenAI leading development of advanced coding models and tools. Even with strong growth, SpaceX still faces financial challenges. The company reported losses of about 4.9 billion dollars in 2025 while bringing in revenues of around 18.7 billion dollars. In contrast, Amazon continues to report much higher revenue and profits due to its large global retail and cloud business. The latest IPO event helped push SpaceX shares higher. The stock was priced at 135 dollars and has climbed about 50 percent since launch. This rapid rise has also increased the personal wealth of Elon Musk, who is now estimated to be worth more than 1.3 trillion dollars according to market trackers. Some analysts believe the Cursor acquisition could help SpaceX close the gap with leading AI firms. The tool is already widely used by software developers, which gives it strong market reach and real world testing at scale. Others say the deal alone will not fully close the gap with top competitors. However, it strengthens SpaceX’s position in enterprise AI and coding tools, which are seen as one of the fastest growing parts of the tech sector. Cursor’s parent company, Anysphere, is backed by major investors including venture capital firms and technology companies. It has attracted support from well known names in Silicon Valley, which has helped boost its growth and reputation in the developer community. The deal is expected to close in the third quarter of 2026. It will be paid in stock and will not use additional cash from the IPO proceeds. This structure reflects confidence in SpaceX’s long term valuation and future earnings potential. As competition in AI and space technology continues to grow, SpaceX is positioning itself as a major player across multiple industries. The company’s rapid rise in market value shows how investors are betting on its expansion beyond space exploration into artificial intelligence and digital services. For now, SpaceX’s move ahead of Amazon marks a major moment in global tech markets. It reflects changing investor priorities and the growing importance of AI driven companies in shaping future economic value.