New Delhi: Tesla CEO Elon Musk on Wednesday, October 1, became the first individual in history to build a wealth of $500 billion. The surge in fortunes of Musk is attributed to a rebound in Tesla’s stock and soaring valuations of his other companies this year. As per Forbes’ Billionaires Index, Musk’s net worth touched USD 500.1 billion.
Tesla fuels wealth
Musk’s wealth remains heavily connected to his ownership in Tesla, where he held a 12.4 percent stake as of September 15. The electric carmaker’s shares have gained more than 14 percent on year-to-date basis, including a 3.3 percent jump on Wednesday, which alone added over USD 6 billion to Musk’s fortune.
The start of the year 2025 has been sluggish for Elon Musk and his company. Tesla shares have recovered as investor sentiment improved. Company chair Robyn Denholm recently noted that Musk had returned “front and center” at Tesla after spending months engaged with U.S. policy matters. Shortly after, Musk purchased around $1 billion worth of Tesla shares, signaling confidence in the automaker’s transformation into an AI and robotics-driven company.
Headwinds for Tesla
Despite recent gains, sluggish demand for cars and sales coupled with shrinking margins has continued to weigh on Tesla. The recent slowdown in sales led to Tesla coming out from the ‘Magnificent Seven’ tech stock group. In September, the Tesla board proposed a USD 1 trillion compensation plan for Musk, aimed at ambitious performance targets while addressing his call for a greater stake in the company.
Other Ventures Lift Musk’s Fortune
Musk’s other ventures beyond Tesla have also contributed to his net worth. His AI startup xAI reached a $75 billion valuation in July, with reports suggesting a potential fundraising round that could lift it to USD 200 billion. Musk, however, clarified that no capital raise was underway.
Meanwhile, SpaceX continues to soar, with Bloomberg reporting in July that the company plans for a secondary share sale. If successfully done, that would value the space company at around USD 400 billion.
Larry Ellison and Mark Zuckerberg in the list too
Following Musk, Oracle co-founder Larry Ellison ranks as the world’s second-richest person with an estimated net worth of USD 350.7 billion. The list includes tech magnate Mark Zuckerberg at number 3 with an estimated net worth of USD 245.8 billion. Jeff Bezos, with USD 233.5 billion, ranks at the fourth spot.