Elon Musk, the founder of SpaceX and CEO of Tesla, has become the first person in history to reach a net worth of $400 billion, according to the Bloomberg Billionaires Index.
A recent insider share sale at SpaceX played a huge role in boosting Musk’s net worth, reported Bloomberg. The transaction added approximately $50 billion to his wealth, bringing the total valuation of SpaceX to around $350 billion. This valuation cements SpaceX’s position as the world’s most valuable private company.
Musk’s net worth surged to $447 billion, driven by both the SpaceX share sale and a rally in Tesla’s stock price. Tesla’s shares reached an all-time high of $415, supported by investor confidence in the company’s future prospects in electric vehicles and clean energy.
Musk’s fortune has been closely linked to the stock market and the broader economic climate. Since the victory of President-elect Donald Trump, Tesla’s shares have risen by approximately 65%, adding billions to Musk’s net worth.
Investors have shown optimism about Tesla benefiting from potential regulatory changes under the new administration. Speculation about streamlined regulations for self-driving cars and adjustments to tax policies has further fuelled Tesla’s stock rally.
The insider share sale at SpaceX involved buying $1.25 billion worth of shares from employees and insiders, as per the report.
Musk’s wealth is not limited to SpaceX and Tesla. His artificial intelligence company, xAI, has also seen its valuation rise sharply, doubling to $50 billion since its last funding round in May. The company aims to develop cutting-edge AI technologies and has drawn attention from investors worldwide.
While Musk’s financial achievements are extraordinary, he has faced challenges along the way. A Delaware court recently rejected his record-breaking Tesla pay package, valued at over $100 billion. This ruling marked a rare legal setback for Musk, but it is unlikely to significantly impact his position as the world’s richest person.
As of December 10, Musk’s net worth stands $140 billion ahead of Jeff Bezos, the second-richest person on the Bloomberg Billionaires Index. Since early November, Musk has added approximately $136 billion to his fortune, reinforcing his dominance in the global billionaire rankings.