Elon Musk becomes first person to surpass $700 billion net worth

New York: Tech billionaire Elon Musk has set a new record by becoming the first individual in history to cross a net worth of $700 billion, according to the Forbes billionaires index. His fortune surged after a US court reinstated a long-disputed compensation package tied to Tesla. Following the ruling, Musk’s estimated wealth climbed to around $749 billion, cementing his position at the very top of the global rich list.

The scale of Musk’s lead over other billionaires is reportedly without precedent. The world’s second-richest person, Larry Page, is worth approximately $252.6 billion, while Larry Ellison ranks third with about $242.7 billion. Musk’s wealth therefore exceeds Page’s by nearly $500 billion, and is roughly equal to the combined fortunes of Page, Ellison, and Jeff Bezos.

This extraordinary leap stems from the Delaware Supreme Court’s decision to restore stock options from Musk’s 2018 pay package, which had previously been cancelled by a lower court. The options are now valued at about $139 billion, far above the original estimate of $56 billion when the deal was approved. The court ruled that the earlier judgment scrapping the package was “unfair and wrong,” overturning a 2024 decision that had described the deal as “unfathomable.”

Musk’s wealth is largely tied to Tesla’s performance rather than a fixed salary. As the company’s market value has soared over the years, the worth of his stock options has multiplied. The reinstatement of these options had an immediate and dramatic impact on his net worth. Unlike many billionaires, Musk’s fortune is heavily concentrated in shares, making it more volatile but also capable of extraordinary gains.