Summary:
- Elon Musk’s net worth has surpassed $400 billion, making him the first person in history to achieve this milestone.
- A recent SpaceX share buyback valued the company at $350 billion, adding $58 billion to Musk’s wealth in a single day.
- Tesla’s stock surge and SpaceX’s new valuation are key drivers of Musk’s financial growth, with Tesla shares up 70% since November.
- Musk’s fortune now exceeds Jeff Bezos’ by $180 billion, solidifying his position as the world’s richest person.
Elon Musk has achieved a historic financial milestone, becoming the first person in history to surpass a net worth of $400 billion. This remarkable feat solidifies his position as the world’s richest individual, with his wealth predominantly tied to his stakes in Tesla, SpaceX, and xAI. As of December 11, 2024, Musk’s net worth is estimated at $428 billion, according to Forbes.
A significant contributor to this surge is the recent valuation increase of SpaceX, Musk’s privately held rocket company. A secondary share sale valued SpaceX at $350 billion, boosting Musk’s net worth by approximately $58 billion in a single day. This valuation makes SpaceX the most valuable private company globally, surpassing other major tech firms like ByteDance and OpenAI. Musk owns an estimated 42% stake in SpaceX, which now accounts for $147 billion of his fortune.
Tesla also plays a crucial role in Musk’s financial ascent. His 13% stake in the electric vehicle giant is valued at nearly $170 billion, following a 70% increase in Tesla’s stock price since the U.S. presidential election on November 5. This rally is partly attributed to expectations that President-elect Donald Trump will implement policies favorable to Tesla, such as streamlining regulations for self-driving cars and adjusting tax credits that currently benefit Tesla’s competitors.
Musk’s involvement with the incoming Trump administration extends beyond potential regulatory benefits. He has been appointed as co-head of the newly established Department of Government Efficiency (DOGE), alongside entrepreneur Vivek Ramaswamy. This department aims to reduce federal government expenses and bureaucracy, potentially impacting regulations affecting Musk’s business interests.
Despite these achievements, Musk has faced challenges. A Delaware court recently voided his 2018 Tesla pay package, initially valued at over $100 billion, marking a legal setback despite shareholder support for reapproval. However, this decision is not expected to significantly affect his standing as the world’s wealthiest person.
Musk’s financial dominance is underscored by his substantial lead over other billionaires. He is currently worth $180 billion more than Jeff Bezos, the second-richest person globally. With ongoing growth in his companies’ valuations and strategic positioning within the U.S. government, Musk’s wealth trajectory seems poised for further expansion.
Source: Forbes.com
