Cognition CEO Scott Wu Denies Report of SpaceX Acquisition Effort

Cognition Chief Executive Officer Scott Wu has publicly disputed a Bloomberg report claiming that Elon Musk’s SpaceX sought to acquire the artificial intelligence coding startup. In a post on social media platform X, Wu stated that the report was inaccurate, asserted that Cognition is not for sale, and confirmed that the two firms have not held acquisition negotiations.

What Happened

According to a report published by Bloomberg citing unnamed sources familiar with the matter, SpaceX made an attempt to acquire Cognition as part of an effort to rival artificial intelligence developers such as OpenAI, Anthropic, and Google. The report stated that while formal deal discussions are no longer active, the companies have discussed working together, potentially through Cognition using SpaceX computing capacity.

Shortly after the report was published, Scott Wu countered the claims on X, emphasizing that Cognition is not open for acquisition and denying that talks had occurred between the entities. Wu did not specifically address the claim regarding potential computing partnerships. Both SpaceX and Cognition did not respond to requests for comment.

Key Highlights

• CEO Denial: Cognition CEO Scott Wu stated that the startup is not for sale and denied engaging in acquisition discussions with SpaceX.
• SpaceX’s Prior Deals: The acquisition report emerged shortly after SpaceX closed a $60 billion purchase of AI coding platform Cursor. SpaceX also acquired Musk’s xAI earlier this year.
• High Valuation Talks: Cognition secured a $1 billion funding round at a $25 billion valuation in late May and is reportedly in early discussions for a new round at a $40 billion valuation.
• Enterprise Footprint: Cognition produces the AI coding agent Devin and services enterprise clients including Goldman Sachs, Citi, and Mercedes-Benz.
• AI Ambitions: Elon Musk recently told SpaceX staff that artificial intelligence will account for 99% of the firm’s value in four to five years.

Why This Matters

AI-assisted software development has become a significant driver of commercial revenue in the technology sector, as demonstrated by the growth of competitors like Anthropic with Claude Code. SpaceX, which reached a peak market capitalization of nearly $2.3 trillion after going public in June, has pitched investors on aggressive AI milestones, including future space-based data centers.

However, SpaceX’s internal AI division, xAI, remains in an early stage compared to leading rivals and has faced reputational hurdles related to controversies involving its Grok chatbot. Acquiring established coding agents or securing commercial partnerships provides SpaceX a direct path to expand enterprise revenues, which Musk noted is necessary to fulfill the company’s long-term financial targets.

What to Watch Next

Cognition remains one of the few large independent AI software coding companies not owned by a major model developer. Observers will be monitoring whether Cognition finalizes its reported new funding round at a $40 billion valuation, as well as whether any computational sharing agreements between SpaceX and Cognition materialize.

Frequently Asked Questions

Did SpaceX acquire Cognition?

No. Cognition CEO Scott Wu explicitly rejected reports of an acquisition, stating that Cognition is not for sale and that the companies have not held acquisition discussions.

What is Cognition known for?

Cognition is an artificial intelligence startup known for creating Devin, an AI coding agent. Its commercial client base includes major corporations such as Citi, Goldman Sachs, and Mercedes-Benz.

Has SpaceX acquired other AI coding companies?

Yes. SpaceX completed a $60 billion acquisition of AI coding startup Cursor, a transaction that closed recently following earlier joint work on the Grok 4.6 model.

Source: Bloomberg, TechCrunch