- Elon Musk’s net worth plunged by more than $48.5 billion Friday, sinking to $865 billion as SpaceX stock fell to its lowest since August.
- The decline followed SpaceX’s disclosure of a $40 billion lease with Apollo Global Management for NVIDIA’s Vera Rubin chips, fueling AI bubble fears.
- AI revenue surpassed Starlink for the first time at $7.56 billion, but the unit’s $16.4 billion in spending raised concerns about rising capital outlays.
- Talk of a potential Tesla-SpaceX merger softened the blow, with Musk confirming he is considering a deal that analysts give an 80% to 90% chance by late 2027.
Elon Musk lost more than $48.5 billion on Friday, pushing his net worth to $865 billion, as SpaceX stock fell to $134.72 — about 40% below the post-IPO high. The decline came amid a broad US selloff driven by AI bubble fears, with SpaceX shares now trading below the June IPO price of $135.
The stock lost $9.17, or 6.37%, on Friday alone, according to data, and is down 9.73% over the past month. Consequently, the hit was especially severe because Musk owns roughly 49% of SpaceX, making the stock’s performance the primary driver of his fortune.
On Oct. 26, SpaceX disclosed an approximately $40 billion lease with a Apollo Global Management entity to buy Nvidia’s next-generation Vera Rubin chips and lease them back over five years. Chief Financial Officer Bret Johnsen said the lease diversifies funding sources and addresses a notable portion of the company’s growth plans, while guiding fourth-quarter capital spending to $35 billion to $40 billion.
The Oct. 20 earnings showed total revenue rose 161% to $14.58 billion, with AI revenue of $7.56 billion eclipsing Starlink’s $5.24 billion. However, the AI unit spent $16.4 billion — more than the space and connectivity segments combined — raising questions about profitability.
Musk warned on X that debt markets have “almost entirely shut off access to money” for companies without substantial independent revenue, predicting “guppy-level death and consolidation” among neoclouds. Peers CoreWeave, Nebius and IREN have each lost more than half their value from record highs.
Meanwhile, Tesla provided some relief, ending the week at $400 after Musk confirmed he is weighing a merger of the two companies. Dan Ives of Yorkville Ives puts the odds of a deal by the end of 2027 at 80% to 90%, though Musk’s 12% Tesla stake can only partially offset the SpaceX stock drop.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
