After a huge run-up in late 2024, a drop in Tesla Inc. (NASDAQ: TSLA) stock recently has taken Elon Musk’s net worth below $400 billion for the first time in 2025, according to the Bloomberg Billionaire Index. (Musk owns 10% of Tesla.) That net worth is down $38 billion this year to $395 billion. His recent bid for OpenAI, the world’s largest artificial intelligence company, could push Musk’s number up again.

Pursuing OpenAI

OpenAI is worth as much as $340 billion, based on discussions this year to raise $40 billion. Musk and an investment group offered $97.4 billion for OpenAI on Monday, which OpenAI has rejected. Based on Musk’s previous efforts to buy companies, his plan is not over. The bid is actually for the nonprofit that controls OpenAI. CEO Sam Altman is trying to make part of that organization for-profit. Musk has objected to this. Musk co-founded OpenAI with Altman in 1995. However, since Musk’s offer is for OpenAI “assets,” it is not clear what he is buying, but it is almost certainly worth more than $97.4 billion.

Musk does have the capital to buy OpenAI. He has the backing of Valor Equity Partners, Baron Capital, Atreides Management, Vy Capital, and 8VC, each of which has billions of dollars in assets.

Among the entities involved in a possible buyout is Musk’s xAI, which recently raised $6 billion. That puts its value at $50 billion. Musk owns over half of xAI. There is a possibility that OpenAI could be combined with xAI to create an AI juggernaut. Musk would need to deal with Microsoft, a large OpenAI shareholder. AI is widely considered the most important advance in technology—perhaps in history.

The Trouble With Tesla

Musk’s problem with Tesla is almost certainly due to falling unit sales. Recent data shows that the automaker is losing ground to China electric vehicle leader BYD. Tesla sales in Germany dropped 59% in January. Tesla has at least half a dozen well-financed competitors in the United States, including GM. Tesla’s stock price is down 13%, and its market cap has fallen to $1.13 trillion.

The decline in Tesla’s stock has hurt Musk’s fortune. Control of the world’s largest AI company could push it much higher.

The Richest Politicians in America and How They Made Their Money

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.