By Daily Review Online
Elon Musk is no longer a trillionaire after a sharp decline in the value of SpaceX and Tesla shares erased hundreds of billions of dollars from his net worth.
According to the Bloomberg Billionaires Index, Musk’s fortune dropped to approximately $946 billion (£710 billion) on June 25, down from more than $1.11 trillion (£830 billion) less than two weeks earlier. The decline follows a broader technology market correction that has weighed heavily on high-growth stocks.
Musk became the world’s first trillionaire on June 12 after SpaceX’s highly anticipated initial public offering (IPO). The company’s shares debuted strongly, opening at $150 after being priced at $135, giving the aerospace giant a valuation of more than $1.77 trillion. With an estimated 42 percent stake in SpaceX, combined with his holdings in Tesla, Musk’s net worth briefly surpassed the $1 trillion threshold.
Investor enthusiasm initially pushed SpaceX shares to a high of $225.64 on June 16, lifting Musk’s wealth to an estimated $1.32 trillion. However, the rally proved short-lived.
Since then, SpaceX shares have fallen by more than 30 percent from their peak, while Tesla stock has dropped nearly 6 percent. The combined decline significantly reduced Musk’s paper wealth as investors retreated from technology stocks amid concerns over a potential artificial intelligence investment bubble and expectations that U.S. interest rates may remain elevated for longer.
The broader market downturn has affected technology companies across the board. The Nasdaq Composite recently fell 2.2 percent, while the semiconductor index dropped 7.9 percent during the latest market correction.
Additional scrutiny has also focused on SpaceX’s financial disclosures ahead of its IPO. Regulatory filings revealed a $4.9 billion deficit for 2025, while the company’s artificial intelligence division reportedly spent $12.7 billion on capital investments. Investors are also monitoring the expiration of the IPO lock-up period, when early investors and employees will be permitted to sell their shares.
Market analysts note that significant price swings are common among newly listed companies and caution investors against reacting emotionally to short-term volatility.
Despite the setback, Musk remains the world’s richest person by a considerable margin. Bloomberg rankings place Google co-founder Larry Page second with an estimated $296 billion, followed by Sergey Brin with $275 billion, Amazon founder Jeff Bezos with $257 billion, and Michael Dell with $223 billion.
With roughly 80 percent of his wealth tied to SpaceX and most of the remainder linked to Tesla, any sustained recovery in the share prices of the two companies could quickly restore Musk’s trillionaire status.