The world's richest man got even richer after a US court decision. The Delaware Supreme Court on Friday (Dec 20) cleared Tech Billionaire Elon Musk's long-contested $56 billion Tesla pay package, reversing an earlier judgment of a lower court. The court ruled that the earlier decision of the lower court to cancel Musk's 2018 pay plan was too extreme a remedy and that the lower court did not give Tesla a chance to say what fair compensation should be.
Following the decision, Tesla CEO Elon Musk’s net worth rose to $749 billion, nearly three times that of the world’s second-richest person, Google co-founder Larry Page, who is worth $252.6 billion. Musk is now closer than ever to becoming the first trillionaire, according to Forbes' billionaires index.
The five-judge appeals panel determined that Chancellor Kathaleen McCormick of the state's Court of Chancery ruled improperly in ordering a rescission, the invalidating of Musk's package in its entirety.
Musk's 2018 package has the approval of the majority shareholders of the company, but it ended up in court after a Tesla Shareholder, Richard Tornetta, challenged the compensation as excessive.
The court struck down the award in January 2024 after a five-day trial, describing the process as “deeply flawed.” McCormick noted that Tesla’s board was vulnerable to manipulation by Musk, the paradigmatic ‘Superstar CEO,’ and she upheld her ruling in December 2024 following an appeal.
Despite this, Tesla’s board has consistently supported Musk, approving an “interim” compensation award of around $29 billion in August and later announcing a pay package that could reach $1 trillion.
Elon Musk made his wealth by co-founding seven companies, including electric car maker Tesla, rocket company SpaceX, and AI startup xAI.
He owns about 12% of Tesla, which he first invested in 2004 and has led as CEO since 2008. SpaceX, founded in 2002, is valued at $800 billion based on a private tender offer in December 2025, with Musk owning an estimated 42% stake.
In 2022, Musk bought Twitter in a $44 billion deal and merged it with xAI in March 2025. The combined company is valued at around $125 billion, including debt.
Musk also founded The Boring Company, which focuses on tunnelling, and Neuralink, a brain-implant startup. Together, these two companies have raised about $2 billion from private investors.
