Cursor and SpaceX will partner in a deal that will give the AI company xAI's Colossus infrastructure to scale up its models. SpaceX will pay Cursor $10 billion for the joint models or pay $60 billion for the Cursor. Think of it as a circular deal meets try-before-you-buy acquisition.

As you’d imagine there’s a lot of commentary (some of it comical) on this arrangement, but the core themes are:

• Why did SpaceX buy xAI if it needs Cursor? We know the answer to that one—Elon. Another note: Why did SpaceX pay $250 billion for xAI? Same answer.
• SpaceX needs to monetize xAI’s Colossus infrastructure somehow.
• Cursor needs its own models to survive and they need to be cutting edge. xAI by the way needs models too.
• And xAI hired two Cursor co-founders so why not get the rest?

In any case, Cursor is doing good work and hopefully that’ll keep coming. We can have Claude and Codex running away with all the code.

• Cursor 3 to manage multiple AI coding agents
• Cursor launches Composer 2
• Infosys, Cursor form strategic pact

Google now offers two research agents including Deep Research, which replaces its preview release, and Deep Research Max. Both are available via Gemini API and paid tiers. Both models run on Gemini 3.1 Pro.

Deep Research is designed for speed and efficiency while Deep Research Max is designed to be complete.

With Google Cloud Next kicking off this week, rest assured that rivals will be announcing a good bit of news to counterprogram. Case in point: Anthropic's deal to use AWS Trainium2 through Trainium4. I'm sure the timing has nothing to do with what's likely to be a new batch of TPUs from Google.

ServiceNow said it has closed the acquisition of Armis and now will target cyber risk with its platform. Current Armis customers of Armis Centrix will remain supported. ServiceNow added that it is creating the AI Center for Cyber Defense, a global hub dedicated to building the next generation AI security stack.

ServiceNow makes its cybersecurity move, acquires Armis for $7.75 billion

Moonshot launched Kimi K2.6, an open-source model that includes coding advances, long-horizon execution and agent swarm ability. Kimi K2.6 is designed to supervise other models, excel at coding and manage a bevy of sub-agents to carry out multi-step processes.

• Moonshot's Kimi K2.5 introduces agent swarm, highlights open source model momentum
• Alibaba's Qwen launches new flagship LLM with Qwen 3.6-Plus
• Z.ai ups ante in open-source LLMs with GLM-5.1

Earnings season for the first quarter kicks off this week. Here are the big tech results on deck:

Wednesday:

• ServiceNow
• Tesla
• IBM
• AT&T

Thursday:

• Nokia
• Intel

The big guns deliver results the following week.

On the buy side, there are plenty of results to monitor.

Here’s a look at three themes I think will be notable in the months ahead.

SaaS vendors will go headless. What do you do when your business relies on a UI as the lead singer for AI agents? Turn into a platform and think headless. Salesforce launched Salesforce Headless 360 in a move that makes its entire platform available via APIs, Model Context Protocol and CLI commands for humans and AI agents. The move means you won’t have to log into Salesforce to use its applications and services. It’s also a move that is likely to be replicated by other SaaS vendors. Also see:

• SaaS under the microscope: How to evaluate your vendor
• Why Slackbot is so strategic to Salesforce
• Monday rolls out welcome mat to external AI agents

AI and SaaS blend together. Agentic AI and SaaS aren’t zero sum. Why? The path of least resistance is to adopt AI within SaaS. Meanwhile, SaaS providers are providing their own differentiation. For instance, Canva launched Canva AI 2.0, which includes its purpose-built foundational models for design. AI is just part of the experience now.

• Canva revamps its platform with Canva AI 2.0
• Certinia launches Veda AI agent suite

Anthropic leads and OpenAI follows (for now). It’s hard to overstate how much momentum Anthropic has compared to OpenAI. Anthropic just seems one step ahead. OpenAI released GPT-5.4-Cyber, beefed-up Trusted Access for Cyber program in a move that looks a little me-too relative to Anthropic’s rollout of Claude Mythos to the cybersecurity industry and launched Project Glasswing. Big banks are also talking Anthropic. See: JPMorgan Chase, Goldman Sachs on Anthropic's Mythos, AI cyber risks

As an aside is anyone else getting Anthropic and OpenAI fatigue? When Claude starts carding you we’re getting closer to the fatigue levels.

I'll just leave this here.

Anthropic Labs has launched Claude Design, a product that lets you collaborate with Claude, powered by Opus 4.7, and create visual designs, prototypes and one pagers. Claude Design will be in research preview for Claude Pro, Max, Team and Enterprise subscribers.

Figma shares were down about 5% and just above $19. That price may be a win since Figma is above its 52-week low of $17.65. Perhaps the Anthropic freak out effect on enterprise software is waning.

Speaking on TSMC's first quarter earnings call, CEO C.C. Wei summed up AI demand.

"AI-related demand continues to be extremely robust. The shift from generative AI and the query mode to agentic AI and command and action mode is leading to another step-up in the amount of tokens being consumed. This is driving the need for more and more computation, which supports the robust demand for leading-edge silicon. Our customers and customers' customers, who are mainly the cloud service providers, continue to provide us with their very strong signal and positive outlook. Thus, our conviction in the multiyear AI megatrend remains high, and we believe the demand for semiconductors will continue to be very fundamental. Supported by our robust technology differentiation and broad customer base, we maintain strong confidence for our full year 2026 revenue to now grow by above 30% in U.S. dollar terms."

A few quick headlines on the LLM front.

• Google updated AI Mode in Chrome so you can open links without switching tabs.
• OpenAI launched GPT-Rosalind, an AI model for life sciences research.
• OpenAI updated its Codex desktop app to take on more tasks beyond coding.
• Bloomberg reports that the OMB is looking to allow their agencies to use Anthropic’s Mythos model.
• Google outlined Gemini app integration between Personal Intelligence and Nano Banana 2.

Netflix reported first quarter earnings that were solid, but provided an outlook that fell short of expectations. In addition, Reed Hastings will step down as chairman.

The company projected second quarter revenue of $12.57 billion, below the $12.63 billion Wall Street estimate. In a shareholder letter, Netflix co-CEOs Ted Sarandos and Greg Peters said the following:

• "We are continually expanding how we can leverage AI to improve the member experience, and in Q1 we acquired InterPositive to provide our creators with a broader set of GenAI tools. We are also redesigning our mobile experience, including the launch of vertical video at the end of the month."
• "Our advertising revenue remains on track to reach $3B in 2026, up 2x year-over-year."
• "Over the next few years, we will continue to leverage technology to create a more personalized, more immersive, and more interactive experience for our members."
• "We’ve been using machine learning and AI for many years, and as the technology advances with GenAI, we continue to find new opportunities to deliver an even more seamless experience for members and expand possibilities for storytellers. This includes using GenAI to improve recommendations for members through deeper content understanding so we can recommend the right title at the right moment, test conversational discovery experiences, and improve the breadth and quality of our promotional assets."