Delaware Supreme Court Ruling, Elon Musk’s Wealth: xAI and SpaceX CEO Elon Musk has experienced a significant increase in his net worth. Following a recent ruling by a US court, his total wealth has risen to nearly $750 billion. This substantial growth occurred after the reinstatement of the Tesla compensation package that had previously been annulled.
The Delaware Supreme Court (Decision) in the US has restored Elon Musk’s 2018 Tesla pay package. Earlier, in 2024, a lower court had invalidated this compensation agreement. The court noted that if the package were entirely eliminated, it would effectively imply that Musk received no remuneration for his efforts over the past six years. Based on this rationale, the previous judgment was reversed.
$139 Billion Stock Option Agreement
The compensation arrangement finalized in 2018 is currently estimated to be worth around $139 billion, based on Tesla’s current share price. Under this agreement, Elon Musk was granted the option to acquire approximately 304 million shares at a considerable discount upon meeting specific performance benchmarks.
Should Musk exercise all these stock options, his ownership in Tesla could increase from 12.4% to 18.1%. Tesla’s board had previously cautioned that any disruption to Musk’s compensation could potentially lead him to contemplate departing from the company.
First Individual to Exceed $600 Billion Net Worth
Recently, Elon Musk made history by becoming the first individual globally to exceed a net worth of $600 billion. A significant factor contributing to this achievement is the rising speculation surrounding SpaceX. Reports indicate that SpaceX may soon initiate a tender offer, bringing the company’s valuation close to $800 billion.
Consequently, Musk’s wealth reportedly surged by approximately $168 billion, elevating his net worth to around $677 billion at that time.
Will IPOs, Tesla, and xAI Contribute to an Increase in His Wealth?
SpaceX is reportedly gearing up for an IPO next year, with projections suggesting that the company’s valuation could soar to $1.5 trillion. Furthermore, Elon Musk’s approximately 12% ownership in Tesla is presently valued at around $197 billion, not including stock options.
At the same time, Musk’s AI initiative, xAI Holdings, is engaging with investors, with a possible valuation of about $230 billion. Musk holds roughly 53% of xAI, which is estimated to be valued at nearly $60 billion on its own.
In summary, with judicial backing, surging valuations, and prospective IPOs approaching, Elon Musk’s net worth may continue to rise even more in the years ahead.
