Elon Musk has become the first person ever to hold a net worth above $500bn. The record highlights soaring values of Tesla and his other companies this year.
His wealth briefly touched $500.1bn on Wednesday afternoon in New York. It then eased to just over $499bn later in the day, Forbes’ billionaires index reported.
Other Musk ventures, including the artificial intelligence startup xAI and rocket company SpaceX, have also gained higher valuations in recent months.
Musk dominates global rich list
Musk’s achievement reinforces his role as the world’s richest person. He sits far ahead of tech rivals worldwide. Oracle co-founder Larry Ellison ranks second with a fortune of about $350.7bn.
Ellison briefly overtook Musk last month after Oracle shares jumped more than 40%. The surge followed upbeat expectations for its cloud division and artificial intelligence partnerships.
Tesla share rally drives Musk’s wealth
Most of Musk’s fortune comes from his 12% stake in Tesla. The company’s stock has made strong gains this year.
Shares closed up more than 3.3% in New York on Wednesday. They have now risen over 20% since January.
Investors appear encouraged by Musk dedicating more attention to his companies. His earlier political activity had drawn criticism.
Political spotlight on Musk
Musk faced backlash over his role with the Department of Government Efficiency. The Trump-linked agency focused on spending cuts and job reductions.
He also used his social media platform X to share opinions on immigration and diversity initiatives. These statements often ignited controversy.
Tesla chair Robyn Denholm said in September that Musk was now “front and centre” at the automaker.
Pay package could exceed $1tn
Tesla’s board revealed Musk could unlock a compensation deal worth more than $1tn. The payout depends on meeting ambitious goals within ten years.
Targets include lifting Tesla’s value eightfold, selling one million AI robots, and producing another 12 million cars.
Musk shows faith with share purchase
Last month Musk bought about $1bn of Tesla stock. Investors saw the move as a major vote of confidence in the company.
Tesla continues to battle fierce competition from electric carmakers such as China’s BYD. At the same time, the firm is moving deeper into artificial intelligence and robotics.
