Elon Musk’s Net Worth Tops $400 Billion, a Historic First

(Bcbnews) — Elon Musk has reached a groundbreaking milestone, becoming the first person in history to achieve a net worth of $400 billion. Musk's wealth surge follows a series of financial wins, including a strategic insider share sale of his privately held SpaceX and record-breaking stock performance of Tesla Inc., according to the Bcbnews Billionaires Index.

Massive Wealth Growth from SpaceX and Tesla

The recent insider sale at SpaceX added approximately $50 billion to Musk’s fortune. Concurrently, Tesla shares reached an all-time high of $424.77 on Wednesday, propelling his net worth to an astounding $447 billion. This single-day increase of $62.8 billion marks the largest wealth jump ever recorded, pushing the total net worth of the world’s 500 richest individuals to surpass $10 trillion—a historic first.

To put this figure into perspective, their combined wealth rivals the GDPs of major nations like Germany, Japan, and Australia, based on World Bank data.

Tesla’s Unstoppable Momentum

Musk’s remarkable wealth gains—$218 billion since the start of 2024—are closely tied to Tesla’s performance. Tesla shares, which constitute the majority of Musk’s fortune, have surged 71% this year. Expectations surrounding policy shifts under President-elect Donald Trump, such as streamlined self-driving car regulations and the elimination of competitor tax credits, have fueled investor optimism.

Adding to this, Musk’s appointment as co-head of the newly created Department of Government Efficiency further solidifies his influence. This role positions him at the center of Washington's power dynamics, providing direct access to the Oval Office.

xAI and SpaceX: Rocketing Growth

Musk’s artificial intelligence startup, xAI, has also seen exponential growth. Its valuation more than doubled to $50 billion after Trump’s victory spurred new investor interest. Meanwhile, SpaceX has reached new heights as the world’s most valuable private startup. Following an insider share sale, the space exploration firm is now valued at $350 billion.

SpaceX’s strong ties to the U.S. government, including lucrative contracts and Trump’s public support for Musk’s Mars mission, ensure its continued growth under the incoming administration. The company’s prospects are further bolstered by Jared Isaacman, Trump’s nominee for NASA head, who praised SpaceX as the most innovative organization he has encountered.

Challenges Ahead?

Despite his unprecedented success, Musk faces challenges. Last week, a Delaware judge struck down his 2018 Tesla pay package—valued at over $100 billion—for the second time. Tesla has vowed to appeal the ruling, while Musk dismissed the decision as “absolute corruption” on X. However, even if this compensation is clawed back, Musk would remain the world’s wealthiest individual by a significant margin.

Key Takeaways:

• Musk’s Net Worth: Surpasses $400 billion, a first in history.
• SpaceX Valuation: $350 billion after insider share sale.
• Tesla Growth: Shares have risen 71% this year, boosting Musk’s wealth.
• xAI Surge: Valuation doubled to $50 billion post-election.
• Policy Influence: Key role in Trump’s administration as co-head of the Department of Government Efficiency.

Musk continues to defy expectations, shaping industries from electric vehicles to space exploration. His ascent symbolizes a new era of billionaire influence on global economics and politics.