While most economies were suffering as a result of the 2020 pandemic, one man’s wealth increased by an incredible $150 billion in a single year. That man was Elon Musk, who overtook tech behemoths like Bill Gates and Jeff Bezos to become the richest person in the world on January 7, 2021.
Elon Musk ranked 35th among the richest people in the world at the beginning of 2020, with a net worth of about $27 billion. However, his wealth skyrocketed to more than $190 billion by the beginning of 2021. It’s interesting to note that Musk had just carried on with his work from previous years, so it wasn’t because of any particularly innovative or revolutionary projects that year.
What specifically led to this exponential rise, then?
The price of Tesla’s stock holds the answer. Tesla’s stock rose 720% in 2020 alone. Musk’s personal wealth soared along with Tesla since he owns about 20% of the company. One Tesla share increased from $17 (IPO in 2010) to $854 by January 2021. Tesla is now the fifth most valuable company in the world, behind only Apple, Microsoft, Amazon, and Alphabet (Google), thanks to this enormous valuation increase that catapulted it into the league of global tech giants.
Depending on changes in Tesla’s stock price and the private valuation of SpaceX, another of Musk’s ambitious projects, his net worth as of mid-2025 ranges from $240 to 260 billion.
Elon Musk’s Early Life: A Self-Taught Genius
Elon Musk, who was born in Pretoria, South Africa, in 1971, displayed early aptitude. He learned how to program on his first computer when he was just ten years old. By the age of 12, he had developed and sold his first video game, “Blastar,” for $500.
After relocating to Canada in 1989, he went on to study at the University of Pennsylvania in the United States. Musk would go on to make space exploration, renewable energy, and the Internet his life’s work because he was fascinated by them.
Zip2, a city guide software company that sold for almost $300 million, was the beginning of his entrepreneurial career. Next in line was X.com, an online payment startup that later changed its name to PayPal and was purchased by eBay in 2002 for $1.5 billion. He became a multimillionaire as a result of these early exits, but he was only beginning.
The Rise of Elon Musk: Tesla and SpaceX Dominate the Future
Following PayPal, Musk spent more than $100 million to start SpaceX in 2002 with the bold plan to colonize Mars. Next came his involvement with Tesla, an electric vehicle startup that was first established in 2003 by Marc Tarpenning and Martin Eberhard. Musk invested $30 million when he joined in 2004 and was appointed CEO in 2008.
Tesla is now a tech and energy company that produces advanced battery systems, solar panels, and software for autonomous driving. It is no longer just an EV manufacturer. The Model 2, Tesla’s first mass-market EV at an affordable price, was unveiled in 2024 along with the company’s ambitious plans to expand into South America, Southeast Asia, and India.
At the same time, SpaceX is getting closer than ever to completing its mission to Mars. With the help of a group of scientists and artists led by Japanese billionaire Yusaku Maezawa, it plans to conduct its first manned lunar flyby by 2025 after launching its first fully reusable Starship prototype in 2023.
Why Elon Musk Calls Himself ‘Cash Poor’ Despite Billions
The catch is that, despite being the wealthiest person on the planet, Elon Musk doesn’t live up to the hype. “I’m cash-poor,” he once said. Shares of SpaceX and Tesla account for more than 99 percent of his wealth. He has sold the majority of his personal property and does not receive a salary from Tesla.
A market meltdown might result from him selling a sizable amount of his shares, which would indicate a lack of faith in his own businesses. Despite what the net worth charts indicate, the majority of his money is therefore technically worthless.
The Real Elon Musk: Visionary or Volatile?
Musk has frequently emphasized talent and skill over official credentials, saying, “You don’t need a college degree to be smart.” Tesla’s hiring procedures and Musk’s tweets, in which he has stated that aptitude and enthusiasm are more important than degrees, both demonstrate this philosophy.
Mansions and yachts don’t appeal to him. Rather, he is committed to solving Earth’s most pressing issues, such as climate change and sustainable energy, and transforming humanity into a multiplanetary species.
After he became the richest man, his tweet?
“Strange… well, back to work.”
That pretty much sums up the man.
What’s Next for Elon Musk in 2025 and Beyond?
Elon Musk is getting ready for the next significant step in the future:
- Initial deployments of Tesla’s AI-powered autonomous taxi fleet are anticipated in late 2025.
- With its Starlink satellite network, which currently covers more than 70 countries, SpaceX is advancing its efforts to bring internet access to underserved and rural areas.
- Advanced clinical trials are underway for Musk’s brain-computer interface startup, Neuralink.
- His AI company, xAI, was founded in 2023 and is still working to create explainable and safe AI systems.
Given all of these endeavors and his expanding power in the fields of technology, space, energy, and artificial intelligence, it is understandable why some people think Elon Musk will become the first trillionaire in the world within the next ten years, if not sooner.
Conclusion: What Elon Musk Teaches Us About Wealth and Purpose
Elon Musk’s story is about using wealth as a tool—not for luxury, but for impact—and it goes beyond simple statistics. Musk views money as a tool to change the world, not an end in itself, whether he is building brain chips, eco-friendly automobiles, or rockets into space.
Elon Musk is influencing the future, whether you agree with him or not, and he is doing it how he wants.
