<p id=”par-1_49″>Elon Musk, the CEO of Tesla and SpaceX, is the world’s wealthiest person, with an <a href=”https://www.cheatsheet.com/entertainment/higher-net-worth-elon-musk-jeff-bezos.html/”>estimated net worth</a> of $433 billion as of February 2025. His journey to immense wealth is a story of innovation, strategic investments, and leadership in multiple groundbreaking companies. Here’s how Musk got so rich.</p>
<h2 class=”wp-block-heading” id=”h-musk-s-early-ventures”>Musk’s early ventures</h2>
<figure class=”wp-block-image size-full” id=”emb-1″><img decoding=”async” src=”https://www.cheatsheet.com/wp-content/uploads/2025/02/Elon-Musk.webp?strip=all&quality=80″ alt=”Elon Musk dressed in a suit, looking rich” class=”wp-image-3781699″><figcaption class=”wp-element-caption”>Elon Musk | Andrew Harnik/Getty Images)</figcaption></figure>
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<p id=”par-2_35″>Musk’s entrepreneurial path began in 1995 when he co-founded Zip2, a company that provided online city guides for newspapers. In 1999, Compaq acquired Zip2 for approximately $300 million, earning Musk $22 million for his share.</p>
<p id=”par-3_35″>In 1999, Musk co-founded X.com, an online payment company. X.com later became PayPal, which eBay acquired in 2002 for $1.5 billion. Musk’s stake in PayPal resulted in a $180 million payout, significantly boosting his wealth.</p>
<p id=”par-4_25″>Reflecting on his early successes, Musk once said, “When something is important enough, you do it even if the odds are not in your favor.”</p>
<h2 class=”wp-block-heading” id=”h-building-an-empire-tesla-and-spacex”>Building an empire: Tesla and SpaceX</h2>
<p id=”par-5_39″>In 2002, Musk founded SpaceX with the goal of making space exploration more affordable and accessible. As of December 2024, SpaceX is valued at $350 billion, with Musk owning an estimated 42% stake, contributing substantially to his net worth.</p>
<p id=”par-6_50″>Musk joined Tesla Motors in 2004, a year after its founding, and became its largest investor and CEO. Tesla, known for its electric vehicles, has seen its stock price surge over the years. Despite some volatility, Tesla’s stock jumped 40% since the 2024 election, largely due to Musk’s ambitious plans.</p>
<h2 class=”wp-block-heading” id=”h-diversifying-ventures-x-and-xai”>Diversifying ventures: X and xAI</h2>
<p id=”par-7_34″>In October 2022, Musk acquired Twitter for $44 billion and rebranded it as X. Despite initial challenges, X is in talks to raise funds at the same $44 billion valuation, indicating renewed investor confidence.</p>
<p id=”par-8_56″>Musk also founded xAI, an artificial intelligence company aiming to develop advanced AI technologies. As of February 2025, xAI is raising funds at a $75 billion valuation, reflecting the growing importance of AI in various industries. Musk believes “AI will be the best or worst thing ever for humanity, so we need to be very careful.”</p>
<h2 class=”wp-block-heading” id=”h-government-contracts-and-financial-growth”>Government contracts and financial growth</h2>
<p id=”par-9_29″>Musk’s companies have benefited from significant government contracts. SpaceX, for instance, has secured deals to provide satellite services, contributing to its valuation increase from $210 billion to $350 billion.</p>
<p id=”par-10_46″>Elon Musk’s wealth is the result of strategic entrepreneurship, innovation, and leadership across multiple industries. From early successes with Zip2 and PayPal to leading companies like Tesla, SpaceX, X, and xAI, Musk continues to influence technology and business, solidifying his position as the world’s richest person.</p>