ISLAMABAD: Larry Ellison has overtaken Elon Musk as the world’s richest individual, according to Bloomberg, following a dramatic surge in Oracle’s stock fueled by booming demand for artificial intelligence solutions.
Oracle’s co-founder Ellison wrested the title from Musk early Wednesday as shares in his software giant soared more than a third in a stunning few minutes of trading, the Associated Press (AP) reported.
At 81 years old, the college dropout is now worth approximately $393 billion, several billion more than Musk, who first became the world’s richest person four years ago. Meanwhile, Tesla, one of Musk’s largest holdings, has seen its stock decline by 14% so far this year.
This shift in rankings followed Oracle’s blockbuster earnings report, powered by multibillion-dollar contracts tied to the AI race. The company revealed more than $300 billion in new deals and forecasted a 77% revenue jump from its cloud infrastructure business to $18 billion this fiscal year, with projections soaring to $144 billion within four years.
Ellison, who owns about 40% of Oracle, saw his net worth increase by nearly $100 billion within just over half an hour after markets opened.
Musk Still Tops Forbes’ List
While Bloomberg lists Ellison as the richest, Forbes still ranks Musk at the top, estimating his net worth at $439 billion compared to Bloomberg’s $385 billion. The discrepancy largely stems from different valuations of Musk’s private holdings, which include SpaceX and the social media company formerly known as Twitter, now called X.
BBC notes Musk held the world’s richest title for nearly a year. Tesla’s board recently proposed a compensation package that could be worth over $1 trillion if Musk meets ambitious performance targets over the next decade.
‘AI Changes Everything’
Ellison described Oracle’s bold AI-driven projections by stating, “AI changes everything.”
Musk hopes for a similar transformation at Tesla, but he’s struggled to reassure investors. Tesla had promised a rebound in electric car sales after sharp declines earlier this year, but the recovery has yet to materialize.
Instead, Musk has tried to shift focus to Tesla’s robotics and AI technologies behind its cars and robotaxis, downplaying disappointing sales figures.
Tesla Sales Decline
Tesla’s sales in the European Union plunged 40% earlier this summer, marking the seventh consecutive month of declines as customers reacted negatively to Musk’s public support of extreme right-wing politicians on X.
The company has also been losing market share in the United States, where some buyers have boycotted Tesla showrooms due to Musk’s controversial political stances, according to AP.
Impact and Perspective
With Ellison’s soaring fortune, it’s estimated he could fund the annual lifestyles of 5 million American families—roughly the entire population of Florida—allowing them all to quit their jobs, based on median U.S. household income. Alternatively, his wealth could finance a year-long economic pause for all of South Africa, according to its GDP.
