Elon Musk makes history by becoming the first person to lose $200 billion.
Musk has become only the second person in history to create a personal wealth of more than $200 billion. That occurred in January 2021, only a few months after Jeff Bezos, the founder of Amazon, achieved the same achievement.
The sharp decline in the value of Musk’s shares in Tesla, the electric vehicle firm where he serves as CEO, has largely absorbed his lost billions. According to Bloomberg’s Friday report, its value has decreased by 65% this year and by 11% just last Tuesday.
According to Bloomberg’s Billionaires Index, Musk’s total wealth peaked in November 2021 at $340 billion. According to Bloomberg, he is currently worth a respectable $137 billion, but it is still a significant decline from 2021.
Prior to earlier this month, when European fashion scion Bernard Arnault, the driving force behind LVMH, eclipsed Musk as the wealthiest person in the world, Musk held the title.
Large-scale conflicts surrounding his hands-on management of a faltering Twitter, which he paid $44 billion for, are only one of Musk’s problems. The self-described “free speech absolutist” has come under fire numerous times for unilaterally removing journalists from social media platforms for conduct he doesn’t like while allowing previously outlawed neo-Nazis back on the network.
According to the billionaire, Twitter is “essentially… a plane that is heading toward the ground at tremendous speed with the engines on fire and the controls don’t work.”
According to reports, the company is in such financial trouble that Musk recently turned down the servers that supported a Twitter data center in Sacramento. Additionally, he reportedly made some employees bring their own toilet paper to work after firing the janitors at Twitter’s San Francisco headquarters.
Tesla shareholders worry that Musk’s excessive Twitter activity is keeping him from responding to critical concerns at Tesla in the face of escalating rivalry.
Tesla has been dramatically reducing the price of some car models for American consumers through the end of the year, saving them $7,500. According to reports, the business is also cutting back on output at its Shanghai location.
According to a Forbes article published earlier this month, the billionaires of the globe lost roughly $2 trillion in 2022. According to Forbes, American millionaires lost $660 billion in total, more than any other nation, with Musk suffering the worst losses.
However, the loss happened after the world’s billionaires increased their combined wealth by $5 trillion between March 2020 and November 2021.
According to Forbes, the decline in the value of tech stocks, rising interest rates, inflation, and a sluggish economy was to blame for the losses in America.