Elon Musk has become the first person to reach a net worth above $500bn. The milestone reflects rising values of Tesla and his other ventures this year.
His fortune briefly touched $500.1bn on Wednesday afternoon in New York. It later slipped slightly to just over $499bn, according to Forbes’ billionaires index.
Musk’s other companies, including AI startup xAI and rocket firm SpaceX, have also seen significant valuation growth in recent months.
Musk extends lead as world’s richest
The milestone secures Musk’s position as the richest individual on earth. He remains far ahead of other global tech leaders. Oracle co-founder Larry Ellison ranks second with about $350.7bn.
Ellison briefly surpassed Musk last month after Oracle shares surged more than 40%. The jump followed strong forecasts for its cloud business and AI deals.
Tesla stock drives Musk’s fortune
Most of Musk’s wealth comes from his 12% stake in Tesla. The automaker’s shares have climbed sharply this year.
Tesla stock rose over 3.3% in New York on Wednesday. Shares have now increased more than 20% since January.
Investors welcomed Musk dedicating more focus to his companies. Earlier political involvement had raised concerns about his priorities.
Political involvement sparks debate
Musk faced criticism for his role with the Department of Government Efficiency. The Trump-linked agency aimed to cut spending and reduce jobs.
He also shared opinions on immigration and diversity programmes via his platform X. These statements often triggered heated discussion.
Tesla chair Robyn Denholm said in September that Musk was now “front and centre” at the company.
Trillion-dollar pay package possible
Tesla’s board revealed Musk could secure a compensation deal worth more than $1tn. The payout depends on achieving ambitious targets within the next decade.
Goals include raising Tesla’s value eightfold, selling one million AI robots, and producing 12 million additional cars.
Musk shows confidence with share purchase
Last month Musk bought about $1bn of Tesla stock. Investors viewed the move as a strong vote of confidence in the company’s future.
Tesla continues to face strong competition from Chinese rival BYD. At the same time, it is expanding further into artificial intelligence and robotics.
