With a net worth that has now surpassed $500 billion, Elon Musk has graduated to an entirely new class of capital, wielding a level of private financial power that is unprecedented in modern history. This fortune represents more than just wealth; it is a strategic tool with global implications.
This half-trillion-dollar pool of capital gives Musk the ability to operate almost like a nation-state. He can single-handedly fund “moonshot” research and development projects that are too risky for conventional corporations or even some governments. He can acquire large, established companies with his personal resources and steer them in a new direction, as he did with Twitter (now X).
The source of this power is the immense value locked in his companies. His 12% stake in the $1.5 trillion Tesla and his 42% of the $400 billion (target) SpaceX form the core of this financial arsenal. The recent surge in Tesla stock, up 13% for the year on the back of stellar performance, is what armed him with this new level of firepower.
This financial power also allows him to weather storms that would sink others. When faced with doubts earlier this year, he was able to deploy $1 billion of his own capital to shore up confidence in Tesla—a move unavailable to most CEOs.
As the sole member of this new class of capital, Musk’s decisions on how to allocate his resources will have far-reaching effects. Whether he chooses to invest in interplanetary colonization, artificial intelligence, or other ventures, his financial power is now so great that his personal priorities will inevitably help shape the future of humanity.