Only 48 hours after reclaiming the title, Elon Musk has lost his position as the richest person in the world once more, according to Fortune. The head of Tesla and SpaceX momentarily reclaimed the top position on the global wealth pyramid earlier this week. His net worth was assessed to be $187.1 billion on the Bloomberg Billionaires Index.
But according to Fortune, on Wednesday, Tesla stock dropped more than 5%, reducing Mr. Musk’s net worth by about $2 billion and reclaiming the top spot for French billionaire Bernard Arnault, CEO of the French luxury company Louis Vuitton. At $184 billion, Mr. Musk’s net worth decreased by $1.91 billion on the day. This put him below Mr. Arnault’s $186 billion fortune.
Significantly, the leadership change took place only two days after Mr. Musk ousted Mr. Arnault from the top job. The Tesla share price dropped by 65% in 2022 as a result of many causes, forcing the French billionaire to depose the Twitter CEO in December.
According to Bloomberg, Tesla has grown 100% as a result of better economic predictions, higher investor demand, and consumer interest in recently discounted Tesla models. But for Mr. Musk, things looked very different in December. One of the biggest losses of wealth in recent history, Mr. Musk’s net worth dropped by nearly $200 billion between November 2021 and December 2022.
The unexpected drop was brought on by the sharp decline in the value of Tesla stock at the time. Last year, the business had its worst year ever on Wall Street, losing $700 billion as a result of investor concerns over the COVID-19 outbreak in China and Elon Musk’s disputed takeover of Twitter.
Mr. Musk himself poked fun at his somewhat erratic financial situation. He made light of the fact that he had paid $44 billion to acquire “the world’s greatest non-profit” when he joked this week on Twitter that he would continue to control the microblogging website after acquiring control in 2022.
Mr. Musk tweeted in November that the microblogging platform was losing close to $4 million daily. The social media company then had significant layoffs under the billionaire’s watch. Twitter has revealed its eighth wave of layoffs. Importantly, it has recently reduced its employment by around 75%, from 7,500 to only about 2,000.
With that, Musk is also figuratively on a roller coaster after taking over for Parag Agarwal as Twitter’s CEO. Because to the back-to-back layoffs, the microblogging site is through some significant turns and changes and has even said goodbye to more than half of its global personnel. CEO Elon Musk sacked more than 50% of the staff shortly after Twitter gained control. According to a recent article by The New York Times, Musk continued to terminate roughly 10% of the company’s staff. This indicates that the most recent layoffs at the organisation resulted in the loss of employment for close to 200 workers.
Arnault and Musk are positioned at the top of the pyramid of the richest persons in the world, while Bill Gates, Warren Buffett, and Jezz Bezoz round out the top five. Mukesh Ambani, a business tycoon from India, is ranked 11th on the list and is worth USD 79.9 billion.