Elon Musk is a prominent figure in the business and investment world.
He holds various key roles, including founder, chairman, CEO, and CTO of SpaceX; CEO, product architect, and former chairman of Tesla, Inc.; owner, executive chairman, and CTO of X Corp.; founder of the Boring Company and xAI; co-founder of Neuralink and OpenAI; and president of the Musk Foundation. He is widely recognized as one of the wealthiest individuals globally, with an estimated net worth of around $190 billion as of March 2024, according to the Bloomberg Billionaires Index, and approximately $195 billion according to Forbes. His wealth primarily stems from his ownership stakes in Tesla and SpaceX.
Early life and Education
Elon Reeve Musk was born in Pretoria, South Africa’s administrative capital, on June 28, 1971. He comes from a background of British and Pennsylvania Dutch heritage. His mother, Maye Musk, a model and dietitian, hails from Saskatchewan, Canada, while his father, Errol Musk, is a versatile figure in electromechanical engineering, aviation, and business. Elon grew up in a privileged environment alongside his younger brother, Kimbal, and sister, Tosca. Despite their wealth, Elon’s parents instilled in him a sense of social consciousness, with his father actively involved in anti-apartheid politics. After his parents’ divorce in 1980, Elon opted to live mainly with his father, although they later became estranged. Elon’s early passion for reading and computing laid the foundation for his future endeavors, including his successful ventures in technology and entrepreneurship.
Musk’s educational journey took him through several institutions, starting with Waterkloof House Preparatory School and culminating in his graduation from Pretoria Boys High School. Despite being a solid student, he wasn’t exceptional academically. To pave the way for his future endeavors, he applied for a Canadian passport through his mother, facilitating his move to the United States. After a brief stint at the University of Pretoria, Musk relocated to Canada, where he worked various jobs before enrolling at Queen’s University. Later, he transferred to the University of Pennsylvania, where he earned dual degrees in physics and economics from the prestigious Wharton School. Although Musk claimed to have completed his degrees in 1995, they were officially awarded in 1997. During his university years, he showed entrepreneurial spirit by organizing events and even drafting business plans. Musk also gained practical experience through internships in Silicon Valley and briefly pursued a PhD before diving into the burgeoning internet industry.
Career
In 1995, Musk, along with his brother Kimbal and Greg Kouri, co-founded Global Link Information Network, later rebranded as Zip2. The startup secured financing primarily through a funding round of $200,000, with 10% of the contribution coming from their father, Errol Musk. Zip2 focused on developing an internet-based city guide offering maps, directions, and yellow pages, targeting newspapers as its main market. Operating from a modest rented office in Palo Alto, Musk dedicated himself to coding the website nightly. Eventually, Zip2 landed contracts with prestigious publications like The New York Times and the Chicago Tribune. Despite early successes, Musk’s aspirations to lead the company as CEO were thwarted. In February 1999, Compaq acquired Zip2 for $307 million in cash, netting Musk $22 million for his 7% stake in the company.
In March 1999, Musk co-founded X.com, an online financial services and email payment company, investing $12 million from the proceeds of the Compaq acquisition. X.com quickly gained traction as one of the first federally insured online banks, attracting over 200,000 customers within its initial months.
Despite initial success, Musk faced skepticism from friends regarding the name choice, fearing it might be mistaken for a pornographic site. Musk defended the name’s simplicity and ease of use, emphasizing its straightforwardness and memorable qualities.
However, despite being the founder, Musk’s perceived lack of experience led investors to replace him with Intuit CEO Bill Harris by the end of the year. In 2000, X.com merged with Confinity, the company behind the popular money-transfer service PayPal, to avoid competition.
Following the merger, Musk resumed his role as CEO. However, disagreements over software preferences and mounting technological challenges caused tension among employees, leading to co-founder Peter Thiel’s resignation. Eventually, Musk was ousted from his position, and Thiel took over as CEO.
Under Thiel’s leadership, the company refocused on its money-transfer service and rebranded as PayPal in 2001. In 2002, eBay acquired PayPal for $1.5 billion in stock, with Musk, PayPal’s largest shareholder, receiving $175.8 million.
In 2017, Musk repurchased the X.com domain from PayPal for sentimental reasons. Looking ahead, in 2022, Musk expressed aspirations to create “X, the everything app.”
In early 2001, Musk became involved with the nonprofit Mars Society and discussed funding plans to establish a growth chamber for plants on Mars. Later that year, he traveled to Moscow with Jim Cantrell and Adeo Ressi to purchase refurbished intercontinental ballistic missiles (ICBMs) capable of sending greenhouse payloads into space. Despite meetings with companies like NPO Lavochkin and Kosmotras, Musk’s lack of experience in the field was apparent, and the endeavor ended without success.
Undeterred, in February 2002, Musk returned to Russia with Mike Griffin to seek out ICBMs. Despite an offer of one rocket for $8 million, Musk declined and instead opted to start a company focused on building affordable rockets. With $100 million of his own funds, Musk founded SpaceX in May 2002, assuming the roles of CEO and Chief Engineer.
SpaceX encountered challenges early on, with its first launch of the Falcon 1 rocket in 2006 failing to reach Earth orbit. However, despite setbacks that nearly led to bankruptcy, SpaceX secured a contract from NASA in 2008 under the Commercial Orbital Transportation Services program. This marked a turning point, as SpaceX successfully launched the Falcon 1 into orbit later that year.
Subsequently, SpaceX received a $1.6 billion Commercial Resupply Services contract from NASA in 2008, followed by the successful docking of the Dragon vehicle with the ISS in 2012, a first for a commercial spacecraft.
Working towards the goal of reusable rockets, SpaceX achieved a significant milestone in 2015 by successfully landing the first stage of a Falcon 9 on an inland platform. Further advancements included the launch of the Falcon Heavy in 2018, which carried Musk’s personal Tesla Roadster as a dummy payload.
Since 2019, SpaceX has been focused on developing Starship, a fully reusable, super-heavy-lift launch vehicle intended to replace the Falcon 9 and Falcon Heavy. In 2020, SpaceX made history by launching its first crewed flight, Demo-2, becoming the first private company to send astronauts into orbit and dock a crewed spacecraft with the ISS.
In 2015, SpaceX initiated the development of the Starlink constellation, a network of low-Earth-orbit satellites aimed at providing global satellite internet access. The project began with the launch of the first two prototype satellites in February 2018. Subsequent milestones included the deployment of the first large batch of operational satellites, totaling 60, in May 2019. The ambitious decade-long endeavor, encompassing design, construction, and deployment, is estimated by SpaceX to cost approximately $10 billion.
However, the initiative has faced criticism from groups like the International Astronomical Union, who argue that Starlink obstructs views of the sky and poses collision risks to spacecraft.
Amid the Russian invasion of Ukraine, Musk demonstrated support by dispatching Starlink terminals to provide internet access and communication capabilities. By October 2022, approximately 20,000 satellite terminals had been donated to Ukraine, accompanied by complimentary data transfer subscriptions, totaling $80 million in expenses for SpaceX. Despite urging the United States Department of Defense to finance additional units and ongoing subscriptions for Ukraine, Musk publicly committed SpaceX to continue offering Starlink services to Ukraine free of charge, amounting to an annual cost of $400 million.
However, Musk’s stance on free speech prompted controversy when he declined to block Russian state media on Starlink, asserting himself as a “free speech absolutist.”
Additionally, reports surfaced alleging that Ukraine had requested Starlink support to target Russian naval vessels in Crimea. Musk denied the request, expressing concerns over potential escalation to a nuclear conflict should Russia retaliate.
Tesla, Inc., initially Tesla Motors, was founded in July 2003 by Martin Eberhard and Marc Tarpenning, who provided initial financing until the Series A funding round. Before Elon Musk’s involvement, both Eberhard and Tarpenning played significant roles in the company’s early development.
Musk took the lead in the Series A investment round in February 2004, injecting $6.5 million into the company, which made him the majority shareholder and chairman of Tesla’s board of directors. While Musk supervised the design of the Roadster product, he wasn’t deeply involved in day-to-day operations.
Following conflicts in 2007 and the financial downturn in 2007–2008, Eberhard was removed from the company, leading Musk to assume the role of CEO and product architect in 2008. A lawsuit settlement in 2009 designated Musk as a co-founder alongside Tarpenning and two others.
Under Musk’s leadership, Tesla began delivering the electric Roadster in 2008, marking a milestone as the first mass-produced all-electric car utilizing lithium-ion battery cells. Subsequent releases included the Model S sedan in 2012, the Model X crossover in 2015, the Model 3 sedan in 2017 (the best-selling plug-in electric car globally), the Model Y crossover in 2020, and the unveiling of the Cybertruck in 2019.
Tesla has also expanded its footprint with the construction of several Gigafactories for lithium-ion battery and electric vehicle production.
Since its IPO in 2010, Tesla’s stock has soared, becoming the most valuable carmaker in 2020 and joining the S&P 500 later that year. Achieving a market capitalization of $1 trillion in October 2021, Tesla stands as the sixth company in U.S. history to do so. However, in November 2021, Musk’s proposal to sell 10% of his Tesla stock led to scrutiny from the SEC for possible insider trading. In 2022, Musk unveiled Optimus, a robot developed by Tesla, and expressed interest in investing in India during a meeting with Indian Prime Minister Narendra Modi in New York City.
Musk provided the initial vision and financial backing for SolarCity, a company founded by his cousins Lyndon and Peter Rive in 2006. By 2013, SolarCity had risen to become the second-largest provider of solar power systems in the United States. Musk advocated for SolarCity to establish a cutting-edge production facility in Buffalo, New York, which began construction in 2014 and was completed in 2017 through a joint venture with Panasonic.
In 2016, Tesla acquired SolarCity for over $2 billion, merging it with its battery unit to form Tesla Energy. However, the announcement of the deal led to a more than 10% drop in Tesla’s stock price amid concerns over SolarCity’s financial challenges. Shareholder groups filed lawsuits against Musk and Tesla’s directors, alleging that the acquisition primarily benefited Musk at the expense of Tesla and its shareholders. While Tesla directors settled the lawsuit in January 2020, Musk remained the sole defendant, ultimately prevailing in court two years later.
In 2016, Musk also co-founded Neuralink, a neurotechnology startup, with an initial investment of $100 million. Neuralink aims to merge the human brain with artificial intelligence by developing brain-embedded devices that enhance memory, facilitate communication with machines, and treat neurological conditions such as Alzheimer’s disease and spinal cord injuries. Despite claims made by Musk about the potential capabilities of Neuralink’s technology, criticism from neuroscientists and publications has highlighted the speculative nature of these assertions.
Neuralink has faced scrutiny for its animal testing practices, including trials on macaque monkeys, which have led to allegations of animal cruelty and violations of the Animal Welfare Act. In 2022, a federal investigation was launched into possible animal welfare violations by Neuralink. In September 2023, Neuralink received approval to begin human trials, initiating a six-year study.
Elon Musk also founded The Boring Company in late 2016 with the goal of revolutionizing tunneling technology to alleviate urban congestion and provide a faster and more efficient mode of transportation. The idea stemmed from Musk’s frustration with Los Angeles traffic and his desire to find innovative solutions to urban transportation challenges.
Initially conceived as a side project, The Boring Company gained attention when Musk shared his vision for underground transportation systems via Twitter. The company’s name is a play on words, referring to both boring tunnels underground and the mundane nature of traffic congestion.
Musk’s vision for The Boring Company includes building networks of tunnels beneath major cities, equipped with high-speed electric transportation systems like the Hyperloop. These tunnels would reduce travel times significantly by bypassing surface-level congestion.
The company’s first project was the construction of a test tunnel in Hawthorne, California, near SpaceX’s headquarters. The test tunnel aimed to demonstrate the feasibility of Musk’s tunneling technology and provide a platform for further innovation.
Since its founding, The Boring Company has continued to develop and expand its tunneling technology, with projects proposed in various cities worldwide. The company’s ultimate goal is to revolutionize urban transportation and make commuting faster, safer, and more sustainable.
Becoming the Owner of X f.k.a Twitter
Musk’s interest in acquiring Twitter dates back to 2017 when he first expressed intentions to purchase the platform due to concerns about its commitment to free speech. Following urging from his ex-wife Talulah Riley to combat “woke-ism,” Musk began acquiring Twitter shares in January 2022, eventually becoming the largest shareholder with a 9.2% stake by April. This move sparked a significant surge in Twitter’s stock price.
After agreeing to a deal to join Twitter’s board of directors and restricting his ownership to under 14.9%, Musk surprised the market on April 13 by making a $43 billion offer to buy 100% of Twitter’s stock at $54.20 per share. Despite Twitter’s adoption of a “poison pill” shareholder rights plan to deter Musk’s takeover bid, he successfully concluded the acquisition for approximately $44 billion by the end of the month.
The acquisition triggered a significant decline in Tesla’s stock market value, prompting Musk to criticize Twitter executive Vijaya Gadde’s policies, which led to harassment against her. Just a month after announcing the deal, Musk put it “on hold” following reports of spam accounts on Twitter. Despite initially affirming his commitment to the acquisition, Musk terminated the deal in July, leading to Twitter suing him for breach of agreement.
In October 2022, Musk reversed course and offered to purchase Twitter at $54.20 per share, completing the acquisition on October 27. Immediately after, he dismissed several top Twitter executives, including CEO Parag Agrawal, and assumed the role of CEO himself. Under Musk’s leadership, Twitter implemented changes such as introducing a subscription fee for a “blue check” verification and reducing content moderation. Hate speech on the platform increased post-acquisition.
In late 2022, Musk promised to step down as CEO following a Twitter poll indicating users’ preference for him to do so. He eventually transitioned to the role of executive chairman and chief technology officer, appointing former NBCUniversal executive Linda Yaccarino as CEO.
In November 2023, X filed a lawsuit alleging that Media Matters had manipulated the X platform by using accounts to follow major brands and refresh feeds until ads appeared next to extremist posts.
Personal life
Elon Musk’s personal life has been a subject of public interest due to his high-profile status as a billionaire entrepreneur. He has been married three times and has six children.
Musk’s first marriage was to Canadian author Justine Wilson, with whom he has five sons. They were married from 2000 to 2008. Sadly, their first son, Nevada, died of sudden infant death syndrome (SIDS) at just ten weeks old. They have since had twin sons and triplets.
In 2010, Musk married British actress Talulah Riley. The couple divorced in 2012 but remarried in 2013, only to divorce again in 2016.
In 2013, Musk began dating actress Amber Heard, but they broke up the following year.
Musk has also been known for his ambitious and sometimes controversial endeavors, such as his plans for colonizing Mars through SpaceX and his outspoken presence on social media platforms like Twitter.
Despite his busy professional life, Musk has also been involved in various philanthropic efforts, including his work with the Musk Foundation, which focuses on renewable energy, space exploration, and human health.
Legal issues
Elon Musk has been involved in a range of legal issues throughout his career, including investigations by the Securities and Exchange Commission (SEC), defamation lawsuits, labor disputes, intellectual property battles, and other legal matters. These challenges have spanned his various ventures, including Tesla, SpaceX, and his personal endeavors. Despite these legal hurdles, Musk has persisted in leading his companies and advancing his ambitious goals in technology, space exploration, and renewable energy.
Net Worth
Estimated to be over 190 billion dollars.