NEW YORK, US – Elon Musk has become the first person in history to surpass a net worth of $500 billion, propelled by a significant rebound in Tesla’s share price this year and the swelling valuations of his private tech ventures. The milestone, reached on Wednesday, comes just under a year after Musk’s fortune crossed the $400 billion mark, cementing his substantial lead as the world’s wealthiest individual.
According to Forbes’ real-time billionaires index, Musk’s wealth briefly touched $500 billion on Wednesday before settling at $499.1 billion at 5 pm ET.
His vast fortune is intricately linked to his roughly 12% stake in Tesla, the world’s most valuable automaker. The electric-vehicle maker’s stock has climbed approximately 14% so far this year. Last month, Musk disclosed his purchase of about $1 billion worth of Tesla shares, viewed as a robust vote of confidence as the company rapidly transitions from a car manufacturer to an AI and robotics powerhouse.
Further underscoring his value to the carmaker, Tesla’s board proposed a $1 trillion compensation plan for Musk last month. This package, the largest ever offered to a corporate executive, sets ambitious financial and operational targets and addresses his demand for a larger stake. The stock has surged by 35.7% since the compensation plan was first disclosed on September 5, with investors expecting the plan to deepen Musk’s focus on Tesla despite his commitments across multiple complex ventures.
From Autos to Aerospace to AI: A Multi-Industry Empire
Musk’s ventures have granted him an outsized influence across key technology sectors:
- Artificial Intelligence (AI): His AI startup, xAI, which was valued at $75 billion in July, is reportedly raising funds at a $200 billion valuation. xAI is currently expanding a supercomputer, nicknamed “Colossus,” to train large-scale models, positioning its Grok chatbot to rival established players like OpenAI’s ChatGPT and Google’s Gemini.
- Aerospace: The rocket company SpaceX has cemented its dominance in the commercial space sector. It operates the world’s largest satellite network through Starlink and secures the bulk of US launch contracts. SpaceX consistently launches the most rockets globally, serving both the International Space Station and carrying satellites for rival networks. The company is reportedly raising funds at a $400 billion valuation.
Musk’s closest challenger on the Forbes list is Oracle founder Larry Ellison, who follows as the second-richest person with a net worth of about $350.7 billion as of Wednesday.
