Oracle's Larry Ellison dethrones Elon Musk to become world's richest

Oracle CTO Larry Ellison has surpassed Elon Musk to become the richest person in the world, according to the Bloomberg Billionaires Index. The 81-year-old co-founder's net worth soared to $393 billion, exceeding Musk's $385 billion, marking the first time Ellison has held the top spot.

The dramatic shift occurred following Oracle Corp.'s quarterly results, which far exceeded market expectations. The positive report sent the company's shares skyrocketing by an unprecedented 41% in a single day. This surge added a colossal $101 billion to Ellison's personal wealth, an extraordinary gain for an individual.

Ellison's fortune is overwhelmingly tied to his substantial stake in Oracle, where he also serves as chairman and chief technology officer. The company's stock has been on a tear, already gaining 45% this year before Wednesday's massive jump. The market's confidence in Oracle's future is fueled by a significant increase in its business bookings, especially in the burgeoning field of artificial intelligence.

In contrast, Elon Musk's wealth, primarily derived from his shares in Tesla, has seen a recent downturn. Tesla's stock has been down by 13% this year, contributing to the narrowing gap between the two tech titans. Musk had previously held the title of the world's richest person for just over 300 days before being overtaken by Ellison.

A key factor in Oracle's recent success is its strategic push into AI infrastructure. The company announced a major deal in July to supply OpenAI, the company behind ChatGPT, with 4.5 gigawatts of electricity to power its AI operations. CEO Safra Catz also revealed that Oracle had secured four separate multibillion-dollar contracts during the last quarter, signaling robust demand for its cloud and AI services.