Elon Musk has become the first individual to surpass a fortune of $500bn. The record reflects the soaring value of Tesla and his other companies this year.
His wealth briefly touched $500.1bn on Wednesday afternoon in New York. It then eased slightly to just above $499bn, Forbes’ billionaires index reported.
Musk’s other ventures, including the artificial intelligence startup xAI and rocket company SpaceX, have also risen sharply in valuation in recent months.
Musk secures unmatched lead
This milestone confirms Musk as the richest person on the planet. He remains far ahead of his closest rivals. Oracle co-founder Larry Ellison holds second place with a fortune of about $350.7bn.
Ellison briefly overtook Musk last month after Oracle’s shares climbed more than 40%. The rally came on the back of strong expectations for its cloud business and AI-related partnerships.
Tesla stock boosts Musk’s fortune
Musk’s wealth is built largely on his 12% stake in Tesla. The company’s stock has made sharp gains this year.
Shares rose more than 3.3% in New York on Wednesday. Tesla’s value has now grown over 20% since January.
Investors welcomed Musk devoting more energy to his businesses. His earlier political activity had raised concerns about his focus.
Political actions raise criticism
Musk drew fire for his involvement with the Department of Government Efficiency. The Trump-linked body aimed to slash US spending and jobs.
He also used his social platform X to share views on immigration and diversity programmes. These statements often sparked heated reactions.
Tesla chair Robyn Denholm said in September that Musk was now “front and centre” at the company.
Road to trillion-dollar reward
Tesla’s board said Musk could receive a pay package exceeding $1tn. The payout depends on him hitting ambitious goals over the next decade.
Targets include lifting Tesla’s value eightfold, selling one million AI robots, and producing 12 million more cars.
Musk buys more Tesla shares
Last month Musk purchased about $1bn worth of Tesla stock. Investors saw this as a strong sign of confidence in the company’s prospects.
Tesla continues to face fierce competition from Chinese rival BYD. At the same time, it is pushing deeper into artificial intelligence and robotics.
