- Jeff Bezos surpasses Elon Musk as world’s richest person.
- Bezos’ net worth stands at $200.3 billion, surpassing Musk’s $197.7 billion.
- Tesla shares fall 7.2%, contributing to Musk’s loss.
- Legal blow as Musk’s $55 billion pay package at Tesla invalidated.
- Bezos maintains wealth primarily from 9% stake in Amazon.
- Bernard Arnault also ranks among world’s wealthiest with $197.5 billion net worth.
In an unexpected turn of events, Jeff Bezos, the 60-year-old founder of Amazon.com Inc., has risen to the top of Bloomberg’s list of the world’s wealthiest people, dethroning Elon Musk for the first time in 2021.
Elon Musk’s Downfall :
Following a 7.2% drop in Tesla Inc. shares on Monday, Elon Musk handed over his title as the world’s wealthiest person to Jeff Bezos. Musk’s net worth is currently $197.7 billion, while Bezos has a wealth of $200.3 billion.
Bezos Returns to the Top :
This is the first time since 2021 that Bezos, the mastermind behind Amazon.com Inc., has topped Bloomberg’s wealth ranking.
Shrinking the Wealth Gap :
The wealth gap between Musk, 52, and Bezos has gradually narrowed, after reaching a remarkable $142 billion. This decline is mostly due to the diverging paths of Amazon and Tesla shares. While Amazon’s stock has skyrocketed, doubling in value since late 2022, Tesla’s price has fallen by around 50% since its peak in 2021.
Tesla’s Setback :
Tesla’s shares fell after reports showed a large drop in shipments from its Shanghai manufacturing, the lowest figures in over a year. In contrast, Amazon had excellent online sales growth, its best performance since the pandemic began.
Legal blow to Musk :
Musk’s financial difficulties may worsen after a Delaware judge invalidated his $55 billion pay deal at Tesla, where he is CEO. The decision favoured an investor who challenged Musk’s compensation scheme, which was earlier lauded as the largest in history. Despite the setback, Musk’s enormous asset portfolio, which includes stakes in Tesla and SpaceX, continues to play a key role in his net worth calculations.
Bezos’ fortunes :
Bezos’ immense wealth is mostly derived from his 9% investment in Amazon, which solidifies his position as the company’s largest shareholder. Even after selling 50 million shares for around $8.5 billion last month, Bezos remains to have a sizable fortune.
Bezos Reign :
Bezos is no stranger to reclaiming the title of the world’s richest person, having previously surpassed Microsoft Inc. co-founder Bill Gates in 2017. While Bezos and Musk competed for the top slot throughout 2021, a jump in Tesla shares put Musk to the forefront. However, Bezos has regained his dominance.
Bernard Arnault, Another Wealth Titan :
Mr. Arnault, this 74-year-old president of LVMH Moet Hennessey Vuitton, also ranks in the world’s richest people, with a net worth of $197.5 billion.
As wealth dynamics alter, the rise and fall of titans such as Musk, Bezos, and Arnault highlight the volatility character of financial markets and the unrelenting pursuit of fortune on a global scale.