On January 2nd, 2023, Elon Musk became the first person in history to lose $200 billion in wealth. According to Bloomberg, the majority of Musk’s wealth is tied up in Tesla (TSLA), whose stock price plummeted 65% in 2022.
The drop in Tesla’s stock price was largely due to a decrease in demand for the company’s electric vehicles. This decrease in demand was caused by an increase in competition from established automakers who began to produce their own electric vehicles.
Tesla’s stock price decline was also exacerbated by the company’s inability to meet its production goals. Tesla had set ambitious goals for itself in 2022, but failed to meet them due to a variety of factors, including supply chain issues and a lack of skilled labor.
The decline in Tesla’s stock price had a direct impact on Musk’s wealth. Since the majority of his wealth is tied up in Tesla, the drop in the company’s stock price resulted in a corresponding drop in Musk’s net worth.
The decline in Tesla’s stock price has been a major setback for Musk, but he remains optimistic about the company’s future. He has said that he believes Tesla will eventually become the world’s most valuable company, and he is committed to making that happen.
Despite the setback, Musk is still one of the world’s wealthiest people. According to Bloomberg, he is currently worth $140 billion, making him the second-richest person in the world.
It remains to be seen if Musk will be able to regain the $200 billion he lost in 2022. But regardless of the outcome, he has made history by becoming the first person ever to lose such a large amount of wealth.