Elon Musk vs Jeff Bezos has been discussed a lot on the internet and social media lately. As expected, Tesla’s founder has finally surpassed the wealth of Amazon founder, Jeff Bezos. Reportedly, Musk is more than a billion dollars ahead of former world’s richest man.
In the beginning of 2020, Musk was not even in the top 50 richest people of the world. His total net worth was about 28 billion USD and Bezos was at 115 billion USD. And now, the tables have turned in a very dramatic way.
Elon Musk Vs Jeff Bezos And Other Giants
Jeff Bezos was standing at 183 billion USD while Musk surpassed him for number one spot. By the month of July 2020, he took seventh place on the list of world’s richest men beating Warren Buffet. In November he even crossed Bill Gates to the second position. He has gained more wealth in the past year than Gates’ entire net worth i.e. 132 billion USD. 2020 added more than 150 billion USD in Musk’s net worth, which was the fastest climb to the top of world’s richest person list.
The space giant does not seem to stop here. Many of his followers were wondering that he would take some rest after this achievement, well…
The creator of world’s most powerful rocket has estimated net worth of 185 billion USD. According to reports, most of his fortune came from Tesla sales in the last quarter of 2020.
The Magic Of Tesla
The battle of Elon Musk vs Jeff Bezos is not limited to the performance of Tesla and Amazon but also their other projects. However, for this particular case, the automobile company revealed interesting numbers this year. Tesla’s share price increased more than nine times during the year. This also subsequently increased Musk’s already generous pay as the electric car company was trading more than 730 billion USD on Thursday (7th December). This surge in Tesla’s market value has made it worth more than Ford, Toyota, GM, Volkswagon, and Hyundai combined.
Besides the exceptional performance of his automobile business, the situation of US politics has also played a key role in expanding his wealth. The fierce battle between Republicans and Democrats to save US democracy has proved useful for the billionaire. Democrats have been pushing the green technology agenda in which electric vehicle fits well. Tesla made its best sales of the year during the last months of US election (September, October, November, and December).
If the democratic government is highly fond of electric vehicles to reduce carbon footprint, then Tesla is likely to receive a tax credit as well, according to reports. It is when the state supports the business by subtracting a specific amount from whatever the taxpayer is due to pay.
The car manufacturer has also practiced cost cutting including less inventory, laying off employees, and recycling battery cells. Experts assume that Musk will justify this development by increasing his profits constantly at the top spot for next 4 to 5 years.
The Fallen Giant
As Elon Musk vs Jeff Bezos was transpiring in full throttle, meanwhile, Amazon share price remained restricted due to the regulations on tech giants from US government. Federal Trade Commission has been making inquiries in to the reseller agreements of Amazon. It wanted to check how Amazon treated its third-party resellers on its platform. The threat of regulation did not let the Amazon’s stock price to rise like it might have otherwise.
Bezos’s wealth was also rising during 2020 as the pandemic was increasing demand for online shopping and cloud computing. However, he was hit with few setbacks including a divorce which cost him 35 billion USD and a 4% stake in total business. This let Musk to cross him rapidly to first place in the rich list. Jeff’s ex-wife on the other hand become the world’s richest woman after the split.