Musk’s wealth tops $1 trillion after SpaceX Nasdaq debut
SpaceX’s first day of trading pushed Elon Musk’s combined SpaceX and Tesla holdings to about $1.05 trillion, CNBC reported.
By Sofia Marchetti · World Affairs Correspondent
3 min read
Elon Musk became the first person known to be worth $1 trillion after SpaceX began trading on the Nasdaq, according to CNBC. The milestone puts a new spotlight on the concentration of wealth tied to major U.S. technology companies.
CNBC reported that SpaceX opened Friday at $150 a share under the ticker SPCX. At that price, Musk’s stake in the rocket and satellite company was valued at more than $766 billion.
Combined with his Tesla holdings, valued by CNBC at $280 billion as of Friday, Musk’s wealth from the two companies reached roughly $1.05 trillion. CNBC said the SpaceX public offering added more than $180 billion to his fortune.
SpaceX shares rose about 20% in their first trading session and closed just above $160, CNBC reported. That closing price gave the company a market value of more than $2 trillion.
Tesla shares also moved higher Friday, gaining almost 2% to about $406, according to CNBC. Musk is chief executive of both Tesla and SpaceX.
A new level of personal wealth
CNBC reported that Musk is now worth more than the next five richest billionaires combined. The network also said his personal fortune exceeds the gross domestic product of Taiwan, Ireland or Sweden.
The SpaceX listing also created large gains for other shareholders inside the company. CNBC reported that the IPO produced thousands of new millionaires and several new billionaires among SpaceX employees and executives who owned shares.
The scale of Musk’s wealth is likely to intensify debate over inequality and the influence of wealthy technology founders, CNBC reported. SpaceX’s debut ties one of the world’s most valuable private companies to public markets, widening the number of investors able to trade its shares.
How Musk’s fortune grew
Bloomberg and Forbes first identified Musk as a billionaire in 2012, according to CNBC. Forbes estimated his net worth at $2.4 billion at the time.
CNBC reported that Musk’s fortune reached $20 billion in 2019, then climbed sharply the next year after a Tesla stock split. Forbes estimated in 2020 that Musk had become the world’s fifth centibillionaire, a term used for people worth more than $100 billion.
Over the next six years, Musk’s net worth increased roughly tenfold, CNBC reported. The pace put him ahead of other former holders of the world’s-richest-person title, including Amazon founder Jeff Bezos, Microsoft co-founder Bill Gates and LVMH chief Bernard Arnault.
Forbes estimated Google co-founder Larry Page’s fortune at $295 billion, placing him well behind Musk among the world’s richest people, according to CNBC. Forbes also listed Sergey Brin, Jeff Bezos and Oracle founder Larry Ellison at more than $200 billion each as of Friday.
CNBC cited a Forbes estimate that Gates would be worth $464 billion if he had not given away a large share of his wealth through philanthropy.
This story draws on original reporting from CNBC.