Tesla CEO Elon Musk has made history. He has become the richest person on earth. Forbes Real-Time Billionaire Tracker has revealed that his wealth has crossed $500 billion. He is on track to become the first trillionaire.
South African-born Elon Musk runs companies like Tesla, SpaceX, X, Starlink, and Neuralink. The most important part of his wealth is the electric car company Tesla. As of September 15, he had a 12.4 percent stake in it. The company’s shares have risen 14 percent this year, but on Wednesday they jumped four percent in a single day. As a result, Musk’s wealth has increased to $ 9.3 billion. Tesla shares have been on the rise a few months ago. The company’s shares have fallen after Elon Musk’s differences with the US President. However, a few days ago, this tycoon bought shares worth one billion. That has increased investor confidence.
Tesla is making strenuous efforts to significantly increase its market value in the coming days. It has set goals such as expanding the robotaxi and AI markets in the coming days. If Elon Musk achieves these performance goals, he will receive a huge amount of shares under the proposed incentive package. It is estimated that around 900 billion dollars will be collected (Musk’s Fortune). With this, it is estimated that the value of his wealth may exceed a trillion dollars. However, he is currently facing some challenges. Competition from companies such as BYD in China has also increased. Sales have also fallen in Germany. The situation is similar in EU countries. He has revealed expectations for massive expansion.
Net worth milestone:
On October 1, 2025, Forbes reported that Musk’s net worth had reached $500 billion, making him the first person ever to hit that threshold.
Bloomberg’s estimates suggest a somewhat lower figure (around $470 billion), reflecting differences in valuation methods.
Much of his wealth comes from large holdings in Tesla, SpaceX, and xAI.
The trillion-dollar pay package
One of the biggest drivers of the “Musk becomes a trillionaire” narrative is Tesla’s proposed compensation plan for him, which, if fully realized, could push his net worth past $1 trillion.
Key features & conditions
- The proposal would grant Musk up to 423.7 million performance-based restricted shares (around 12% of Tesla’s current shares), in 12 tranches.
Tesla has to hit very aggressive milestones over the next decade
Boost its market capitalization from ~$1.1 trillion to $8.5 trillion (i.e., nearly an 8× increase)
Achieve various performance goals: selling tens of millions of cars, deploying a million robotaxis, delivering a million humanoid AI robots, etc.
Maintain the targets for sustained periods — metrics can’t just be met briefly; they must hold over 30-day and 6-month averages.
Musk must remain with Tesla for a long period: to begin cashing in, he must stay at least 7.5 years, and for the full payout, up to 10 years.
There is also a succession planning requirement: for the last two tranches, Musk must have a credible CEO succession plan.
Importantly, the payout is all equity (shares), not cash. So the value depends entirely on Tesla’s future share price and market valuation.
If the conditions are met, the package could be worth $900 billion or more, potentially pushing Musk’s net worth well above $1 trillion.
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