The Time Elon Musk Lost $20 Billion in a Week — and How He Recovered
Written by
Lydia Kibet
Edited by
Chris Cluff
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For many billionaires, fortunes can be won and lost in days. But Elon Musk’s journey stands out. Per Bloomberg, he went from losing $20.3 billion in a week in 2023 to now being the world’s richest man, boasting a net worth exceeding $400 billion.
What led to this immense wealth-building feat? Here are some of the factors that contributed to Musk’s wealth skyrocketing.
Political Strategy
According to Forbes, Musk’s net worth has increased by more than $70 billion since Donald Trump’s victory in the 2024 U.S. presidential election.
His support for Trump during the election campaign significantly contributed to his net worth surge. Trump even appointed Musk to lead the newly created Department of Government Efficiency (DOGE).
Tesla’s Stock Surge
A primary driver of Musk’s wealth surge was the meteoric rise of Tesla’s stock. Following Trump’s win, Tesla shares soared nearly 15% on Nov. 6. The tech billionaire spent more than $250 million in efforts to send Trump back to the White House, which paid off. Musk’s direct line with Trump fueled this rally, which could potentially continue under the Trump administration.
SpaceX’s Increased Valuation
Musk’s privately held company, SpaceX, is currently valued at $350 billion, making it the most valuable startup globally. This massive valuation increase came from a lucrative tender offer to sell insider shares, NASA partnerships, and its satellite-based internet service, Starlink. Musk, who owns an approximately 42% stake in SpaceX, according to Forbes, contributed to his net worth soaring to all-time highs.
Tapping Into Artificial Intelligence
The artificial intelligence company xAI, co-founded by Musk, has reached a valuation of $50 billion since its founding in July 2023. The AI startup is worth more than its rival, Perplexity, currently valued at $9 billion. xAI recently raised $6 billion in series C funding, with participation from key investors, including BlackRock, Fidelity, Morgan Stanley and Sequoia Capital. The optimism from established companies has made xAI worth more than the tech mogul paid to acquire X (formerly Twitter).
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