Outlook Business Desk
Tesla CEO Elon Musk became the world's first person to reach a net worth of nearly $500 billion, driven by a rebound in Tesla shares and soaring valuations of his other ventures.
According to the Forbes Billionaires Index, Elon Musk’s net worth stood at $500.1 billion as of October 2 at 4:15 p.m. E.T, highlighting the massive growth in his personal wealth this year.
Musk owns over 12.4% of Tesla as of September 15. Shares of the company rose 14% this year, closing 3.3% higher on Wednesday, adding more than $6 billion to his net worth.
After months focusing elsewhere, Musk returned "front and center" at Tesla. He also purchased around $1 billion in shares, signalling confidence in the company’s future direction toward AI and robotics.
Even with recent gains, Tesla struggles with declining vehicle sales and persistent margin pressures, leaving its stock as one of the under-performers among the “Magnificent Seven” major tech companies.
Meanwhile,Tesla’s board has put forward a $1 trillion compensation plan for Musk, setting bold targets and also considering his wish for a bigger stake in the company.
Musk’s AI start-up xAI and SpaceX have also surged in valuation. xAI reached $75 billion by July, while SpaceX targeted a $400 billion valuation through fundraising and insider share sales.
On the other hand , oracle founder Larry Ellison ranks second on Forbes’ list with an estimated net worth of $350.7 billion as of Wednesday, trailing Musk’s $500.1 billion by a significant margin.