Elon Musk Becomes First Person in History to Surpass $850 Billion Net Worth
Published: February 2026 | Reading Time: 8 minutes
In a development that reshapes our understanding of wealth accumulation, Elon Musk has achieved what once seemed impossible—becoming the first individual in human history to surpass an $850 billion net worth. According to Forbes’ Real-Time Billionaires tracker, Musk’s fortune now stands at approximately $852 billion, a figure that surpasses the gross domestic product of many nations.
This historic milestone was triggered by the monumental merger between SpaceX, Musk’s aerospace manufacturer, and xAI, his artificial intelligence venture. The combined entity is valued at $1.25 trillion, representing the largest corporate merger in history and fundamentally altering the landscape of both the space exploration and AI industries.
Prior to the deal:
- Musk owned about 42 % of SpaceX, valued at $800 billion.
- He also held approximately 49 % of xAI, valued at $250 billion.
Key Takeaway: Musk’s net worth increased by approximately $84 billion overnight following the SpaceX-xAI merger announcement, widening his lead over every other billionaire by an unprecedented margin.
The Historic SpaceX-xAI Merger: Breaking Down the Numbers
The merger that catapulted Musk past the $850 billion threshold wasn’t just another business transaction—it was a strategic consolidation of two cutting-edge technology sectors. The deal, structured as an all-stock transaction, values SpaceX at $1 trillion and xAI at $250 billion.
Before this merger, Musk owned approximately 42% of SpaceX, which was worth around $336 billion based on a December valuation that pegged the company at $800 billion. He also held a 49% stake in xAI, valued at roughly $122 billion after a funding round earlier in the year. Following the merger, CNBC reports that Musk now controls approximately 43% of the combined entity, translating to a stake worth $542 billion.
SpaceX-xAI Merger Breakdown
|
Company |
Pre-Merger Valuation |
Musk’s Stake |
Stake Value |
|---|---|---|---|
|
SpaceX (Pre-merger) |
$800 billion |
42% |
$336 billion |
|
xAI (Pre-merger) |
$250 billion |
49% |
$122 billion |
|
Combined Entity (Post-merger) |
$1.25 trillion |
43% |
$542 billion |
Strategic Rationale: Why Merge Space and AI?
In a memo published on SpaceX’s website, Musk outlined his vision for the merger, emphasizing the creation of “orbital data centers” as the primary objective. According to his statement, current advances in artificial intelligence depend on massive terrestrial data centers that consume enormous amounts of power and cooling resources. Musk argues that global electricity demand for AI cannot be sustainably met with Earth-based solutions without imposing significant hardship on communities and the environment.
The merged company aims to leverage SpaceX’s launch capabilities and Starlink satellite network to deploy AI computing infrastructure in space, potentially revolutionizing how we approach data processing for next-generation artificial intelligence systems.
Musk’s Wealth Breakdown: Where Does the Money Come From?
While the SpaceX-xAI merger represents Musk’s largest asset, his wealth portfolio extends across multiple revolutionary companies. Here’s a comprehensive breakdown of how his fortune is distributed:
Elon Musk’s Primary Assets (February 2026)
- SpaceX-xAI Combined: $542 billion (63.6%)
- Tesla Stock: $178 billion (20.9%)
- Tesla Stock Options: $124 billion (14.6%)
- Other Holdings (X, Neuralink, Boring Company): ~$8 billion (0.9%)
Tesla: The Foundation That Started It All
Despite SpaceX now being his most valuable asset, Tesla remains a cornerstone of Musk’s wealth. He currently owns approximately 12% of the electric vehicle manufacturer, valued at $178 billion, plus stock options worth an additional $124 billion. These figures don’t include a controversial $1 trillion compensation package approved by shareholders in November 2025, which could grant Musk up to $1 trillion in additional Tesla stock over the next decade if ambitious performance targets are met.
However, Tesla’s dominance in Musk’s portfolio has shifted. According to historical data, around 75% of Musk’s wealth came from Tesla stock in November 2020, but that proportion has fallen to approximately 35% as of early 2026. This shift reflects the explosive growth of his private ventures, particularly SpaceX and xAI.
Putting $850 Billion in Perspective
To truly grasp the magnitude of Musk’s wealth, it helps to place it in context. His net worth is now roughly three times larger than the second-wealthiest person on Earth. According to current billionaire rankings, Google co-founder Larry Page holds the number two spot with an estimated net worth of $281 billion—meaning Musk’s wealth exceeds Page’s by a staggering $578 billion.
Top Billionaires Comparison
| Rank | Name | Net Worth | Primary Source |
|---|---|---|---|
| 1 | Elon Musk | $852 billion | SpaceX, Tesla, xAI |
| 2 | Larry Page | $281 billion | |
| Gap | — | $571 billion | — |
Comparing Wealth to National Economies
Perhaps even more striking is how Musk’s personal wealth compares to entire nations. His $852 billion fortune now exceeds the gross domestic product of countries like Pakistan ($338 billion), Bangladesh ($437 billion), and approaches the GDP of Switzerland ($905 billion). In fact, if Musk’s wealth were a country, it would rank among the top 20 economies in the world.
Historical Context: Just five years ago in 2020, Musk’s net worth stood at approximately $27 billion. His wealth has increased by more than 3,000% in half a decade—an unprecedented rate of wealth accumulation in modern economic history.
The Journey to $850 Billion: A Timeline of Milestones
Musk’s ascent to becoming the world’s richest person wasn’t overnight. It represents a series of calculated risks, innovative ventures, and strategic decisions spanning multiple decades.
Wealth Milestones Timeline
1999 – Co-founded X.com (later PayPal), sold to eBay for $1.5 billion in 2002
2002 – Founded SpaceX with proceeds from PayPal sale
2004 – Joined Tesla as early investor, became CEO in 2008
2012 – First appeared on Forbes Billionaires List with $2 billion
2020 – Net worth reached $100 billion as Tesla shares soared
2021 – Became world’s richest person; first to reach $300 billion
December 2024 – First person to surpass $400 billion net worth
October 2025 – Crossed $500 billion milestone
December 2025 – Reached $600 billion, then $700 billion within weeks
February 2026 – First person ever to exceed $850 billion following SpaceX-xAI merger
What This Means for the Tech Industry and Global Economy
Musk’s $850 billion milestone represents more than just personal achievement—it signals fundamental shifts in how wealth is created in the 21st century. Unlike traditional industries such as retail, oil, or real estate, Musk’s fortune is derived from sectors defining the future: electric vehicles, space technology, satellite internet, and artificial intelligence.
The Rise of Private Company Valuations
One particularly significant aspect of this wealth milestone is that much of it comes from private companies. SpaceX, now Musk’s most valuable holding, has never been publicly traded. This challenges conventional assumptions about public markets being the ultimate benchmark for corporate valuation and demonstrates the growing influence of private capital in shaping the global economy.
The combined SpaceX-xAI entity is preparing for what could be the largest initial public offering in history. Reports suggest the company may pursue an IPO around mid-June 2026, potentially raising up to $50 billion at a valuation as high as $1.5 trillion. If successful, this would provide unprecedented liquidity and market validation for what has largely been a privately-held empire.
Implications for Wealth Inequality
The concentration of such enormous wealth in a single individual has reignited debates about income inequality and wealth distribution. Economic historians note that the gap between Musk and the second-richest person ($571 billion) is larger than the entire net worth of most billionaires. This level of wealth concentration is practically unprecedented in modern economic history.
The Path to Becoming the First Trillionaire?
At his current trajectory, analysts speculate that Musk could become the world’s first trillionaire. With the SpaceX-xAI merger providing a $1.25 trillion foundation and Tesla’s $1 trillion compensation package potentially adding significant value over the next decade, reaching thirteen figures is no longer in the realm of fantasy.
However, several factors could impact this projection. SpaceX’s planned IPO will subject its valuation to public market scrutiny. Tesla faces intensifying competition in the electric vehicle market, particularly from Chinese manufacturers like BYD. Additionally, xAI continues to burn through approximately $1 billion per month as it competes with established AI companies like OpenAI and Google’s DeepMind.
Regulatory Challenges Ahead: The merged SpaceX-xAI entity faces significant regulatory scrutiny. Authorities in Europe, India, Malaysia, and the United States have launched investigations into xAI’s Grok image generator after it was used to produce explicit deepfake images. French investigators recently raided X’s offices as part of a probe into alleged algorithmic abuse, highlighting the complex regulatory landscape Musk’s companies must navigate.
Looking Forward: Sustainability and Innovation
While critics focus on wealth concentration, Musk has consistently framed his wealth accumulation as resource gathering for humanity’s expansion into space. His stated goal of making life multiplanetary requires enormous capital investment in technologies that don’t yet exist or operate at scale.
The SpaceX-xAI merger embodies this vision by combining launch capabilities, satellite infrastructure, and artificial intelligence into a single vertically-integrated system. Whether this approach succeeds in solving fundamental challenges like AI’s energy demands or establishing permanent human presence beyond Earth remains to be seen.
What’s certain is that Musk’s $850 billion net worth represents a watershed moment in economic history—one that future generations will study as they examine how wealth, technology, and innovation intersected in the early 21st century.
Key Considerations for Investors and Industry Observers
For those watching the cryptocurrency and technology sectors, several implications emerge from this development:
Private Market Dynamics: The success of SpaceX and xAI as private entities demonstrates that significant value can be built outside traditional public markets, though this also means less transparency and higher barriers to entry for average investors.
Tech Sector Consolidation: The merger of space technology and AI capabilities suggests a trend toward vertical integration in deep tech sectors, where controlling the entire stack—from satellites to software—provides competitive advantages.
Valuation Volatility: Much of Musk’s wealth is tied to company valuations that can fluctuate dramatically based on private fundraising rounds, making his exact net worth somewhat fluid despite the headline figures.
Blockchain and Space: While not directly related to cryptocurrency, SpaceX’s satellite infrastructure and xAI’s computing ambitions could potentially intersect with decentralized technologies, especially as blockchain projects explore space-based nodes and off-world computing resources.
Conclusion
Elon Musk’s achievement of surpassing $850 billion in net worth marks an unprecedented milestone in wealth accumulation. Driven primarily by the $1.25 trillion SpaceX-xAI merger, this development reshapes our understanding of what’s possible in terms of individual wealth creation and raises important questions about the concentration of economic power in the hands of tech entrepreneurs.
Whether viewed as an inspirational story of innovation and ambition or a concerning example of wealth inequality, one thing is undeniable: Musk has fundamentally altered the landscape of global wealth. As SpaceX prepares for its historic IPO and continues developing revolutionary technologies, the world will be watching to see if the first trillionaire emerges from this unique convergence of space exploration, artificial intelligence, and electric transportation.
For now, Musk stands alone in financial history—the only person to ever surpass $850 billion, with a lead over his nearest competitor that itself would make someone the world’s third-richest person.
Disclaimer: Net worth figures for individuals are estimates based on publicly available information and private company valuations. Actual liquid wealth may differ significantly from reported net worth, as most of these assets are tied up in company stock and private holdings. This article is for informational purposes only and should not be considered financial advice.
