Billionaire Elon Musk Receives Axel Springer Award

The Top 10 Richest People In The World (January 2024)


<p>Earlier this week, while Bezos was in Glasgow at the COP26 climate summit, he sold more than $2 billion worth of Amazon shares. The sale came as Bezos, the world’s second richest person, promised in a speech at the summit that he will spend&nbsp;<a href="https://www.forbes.com/sites/sofialottopersio/2021/11/02/billionaire-jeff-bezos-takes-stage-at-cop26-to-pledge-2-billion-towards-nature-conservation/?sh=41e3a18c782c">$2 billion from his Earth Fund</a>&nbsp;on restoring nature and transforming food systems.&nbsp;</p>



<p>“We must conserve what we still have, we must restore what we’ve lost, and we must grow what we need to live without degrading the planet for future generations to come,” Bezos said during his talk in Glasgow.</p>



<p>The sale, after accounting for capital gains taxes Bezos likely owes, barely changes his net worth. As of midday Thursday, Bezos is worth $199.4 billion,&nbsp;<em>Forbes&nbsp;</em>estimates. He trails the number one richest, Elon Musk (worth an estimated $317 billion), by about $118 billion.&nbsp;</p>



<p>Bezos has sold more than $8.8 billion worth of Amazon stock this year. Since taking Amazon public in 1998, the founder of the e-commerce giant has sold some $29 billion worth of Amazon shares,&nbsp;<em>Forbes</em>&nbsp;calculates; his stake in the company has gone from 42% in 1997 to just under 10% currently. Last year&nbsp;<a href="https://www.forbes.com/sites/rachelsandler/2021/06/24/heres-how-much-money-jeff-bezos-has-reaped-from-selling-amazon-stock/?sh=62bf2e63389a">he unloaded $10 billion worth</a>&nbsp;of his Amazon stake.</p>



<p>In July, Bezos gave up the role of Amazon CEO but has stayed on as the company’s chairman. Since then he’s shifted his focus to his rocket company, Blue Origin, and has made several announcements about philanthropic gifts. In September he announced a $1 billion pledge toward conservation efforts.&nbsp;MORE FOR YOU<a href="https://www.forbes.com/sites/hanktucker/2021/09/23/evergrande-chairman-hui-ka-yan-has-been-paid-8-billion-in-cash-while-property-developer-piled-on-debt/">Evergrande Chairman Hui Ka Yan Has Been Paid $8 Billion In Cash While Property Developer Piled On Debt</a><a href="https://www.forbes.com/sites/chasewithorn/2021/09/26/walter-scott-jr-warren-buffetts-longtime-friend-and-business-partner-dead-at-90/">Walter Scott Jr., Warren Buffett’s Longtime Friend And Business Partner, Dead At 90</a><a href="https://www.forbes.com/sites/zacheverson/2021/09/25/democrat-on-powerful-house-ways-and-means-committee-apparently-violated-stock-trade-rules/">Democrat On Powerful House Ways And Means Committee Apparently Violated Stock-Trade Rules</a></p>



<p>Amazon stock has more than doubled in value since the beginning of 2019; it’s risen about 6% since early January 2021.</p>



<p>A spokesperson for Jeff Bezos at Amazon declined to comment regarding the share sales.</p>



<p><strong><em>By Kerry A. Dolan, Forbes Staf</em></strong></p>


Amazon Unveils Its First Smartphone

Jeff Bezos Just Sold $2 Billion Worth Of Amazon Stock


<p><strong>It’s been a rollercoaster year among the very wealthiest, with Musk, Jeff Bezos and LVMH’s Bernard Arnault all vying for the number one spot.</strong></p>



<p>Athree-way race for the title of wealthiest person in the world intensified Thursday as&nbsp;<a href="https://www.forbes.com/profile/elon-musk/">Elon Musk</a>, worth an estimated $177.4 billion at the day’s end, overtook French luxury magnate&nbsp;<a href="https://www.forbes.com/profile/bernard-arnault/">Bernard Arnault</a>&nbsp;for second place. Arnault, who held pole position to start the week, got nearly $21 billion poorer over the past two days as LVMH shares tumbled 12.6%. That led to Amazon founder&nbsp;<a href="https://www.forbes.com/profile/jeff-bezos/">Jeff Bezos</a>&nbsp;reclaiming the top spot with a fortune estimated at $185.5 billion.</p>



<p>It’s been a rollercoaster year atop the billionaire ranks. Since January, the three have periodically jockeyed for the lead on&nbsp;<em>Forbes</em>’&nbsp;<a href="https://www.forbes.com/real-time-billionaires/">real-time tracker</a>&nbsp;of the world’s richest people, with each coming out on top—and losing the title—multiple times over the past eight months.</p>



<p>The constant shuffling is unusual. Over the first three decades after&nbsp;<em>Forbes</em>&nbsp;began tracking billionaires’ net worths in 1987, only six people held the title of world’s richest person. In the early years, two Japanese real estate moguls—Yoshiaki Tsutsumi and Taikichiro Mori—topped the list, until&nbsp;<a href="https://www.forbes.com/profile/bill-gates/">Bill Gates</a>&nbsp;came along in the late 1990s. From 1997 to 2017, Gates dominated the list, save for a single year when&nbsp;<a href="https://www.forbes.com/profile/warren-buffett/">Warren Buffett</a>&nbsp;took the top spot (2008) and a three-year stint when Mexico’s&nbsp;<a href="https://www.forbes.com/profile/carlos-slim-helu/">Carlos Slim Helu</a>&nbsp;wrested the title (2010 through 2013). (Spanish retailer&nbsp;<a href="https://www.forbes.com/profile/amancio-ortega/">Amancio Ortega</a>&nbsp;also grabbed the top spot for a few hours in 2015, and a couple days in 2016.)&nbsp;</p>



<hr class="wp-block-separator"/>



<h3 class="wp-block-heading" id="h-race-to-the-top">RACE TO THE TOP</h3>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="750" src="https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52-1024x750.png" alt="" class="wp-image-52223" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52-1024x750.png 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52-300x220.png 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52-768x563.png 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52-1536x1125.png 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/08/Screenshot-2021-08-20-at-13.39.52.png 1540w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Forbes.com</figcaption></figure>



<p>In recent years, the longtime Microsoft chief, has found himself firmly outside the top three thanks to gifts of stock to his Bill and Melinda Gates Foundation, transfers of at least $5 billion worth of shares in public companies to his ex-wife&nbsp;<a href="https://www.forbes.com/profile/melinda-french-gates/">Melinda French Gates</a>—and the meteoric rise of Bezos, Musk and Arnault.</p>



<p>Since early 2017—when Gates topped the World’s Billionaires list with an $86 billion net worth—Bezos has added more than $110 billion to his fortune on the back of skyrocketing Amazon stock, Arnault has ridden LVMH shares’ 225% climb to more than quadruple his net worth and Musk has had the steepest climb in history, gaining more than $150 billion in four years as Tesla has become the most valuable carmaker on the planet.</p>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-jeff-bezos"><strong>Jeff Bezos</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-185-2-billion">Net worth: $185.2 billion</h3>



<h3 class="wp-block-heading" id="h-gain-in-past-12-months-6-6-billion">Gain in past 12 months: $6.6 billion</h3>



<h3 class="wp-block-heading" id="h-weeks-this-year-ended-at-no-1-26">Weeks this year ended at No. 1: 26</h3>



<p>Bezos, the longtime Amazon CEO and now executive chairman, has been the world’s richest for most of 2021. Bezos began the year in first place and, after briefly dropping to No. 2, he&nbsp;<a href="https://www.forbes.com/sites/lisettevoytko/2021/01/16/jeff-bezos-once-again-the-worlds-richest-person-after-rollercoaster-week/">regained the No.1 spot</a>&nbsp;for about four months from mid-January until May. Bezos&nbsp;<a href="https://www.forbes.com/sites/giacomotognini/2021/06/10/after-two-weeks-at-no-2-jeff-bezos-is-once-again-the-richest-person-in-the-world/">returned to the top spot</a>&nbsp;on June 10, and maintained the lead for 50 days before losing footing when Amazon announced disappointing quarterly earnings in late July, which wiped $13.9 billion from his net worth in a single day. Even as Amazon’s stock continues to falter, an even shakier performance by the stock of Arnault’s LVMH helped Bezos to&nbsp;<a href="https://www.forbes.com/sites/kenrickcai/2021/08/18/jeff-bezos-again-richest-person-in-world/">once again become the richest person</a>&nbsp;on Wednesday.</p>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-elon-musk"><strong>Elon Musk</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-177-1-billion">Net worth: $177.1 billion</h3>



<h3 class="wp-block-heading" id="h-gain-in-past-12-months-110-9-billion">Gain in past 12 months: $110.9 billion</h3>



<h3 class="wp-block-heading" id="h-weeks-this-year-ended-at-no-1-1">Weeks this year ended at No. 1: 1</h3>



<p>Musk’s fortune has grown by more than $100 billion in one year, thanks to an extraordinary rise in the stock price of electric vehicle maker Tesla. After a brief drop at the start of the Covid-19 pandemic, shares rocketed in subsequent months. On January 8, 2021—with Tesla shares up more than 1,000% from the pandemic-period low—Musk&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/08/elon-musk-is-now-the-richest-person-in-the-world-officially-surpassing-jeff-bezos/">first became</a>&nbsp;the world’s richest person, overtaking Bezos. For about a week, the two&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/11/elon-musk-falls-to-second-richest-person-in-the-world-after-his-fortune-drops-nearly-14-billion-in-one-day/">traded places</a>&nbsp;on a&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/12/elon-musk-is-back-at-no-1-richest-person-in-the-world-after-tesla-stock-rebounds/">near-daily</a>&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/13/elon-musk-falls-to-worlds-second-richest-person/">basis</a>, but as Tesla stock began to fall, Bezos solidified his position once again. Musk, meanwhile, was overtaken by Arnault and dropped down to third place for months beginning in April.</p>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-bernard-arnault">Bernard<strong>&nbsp;Arnault</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-173-2-billion">Net worth: $173.2 billion</h3>



<h3 class="wp-block-heading" id="h-gain-in-past-12-months-61-9-billion">Gain in past 12 months: $61.9 billion</h3>



<h3 class="wp-block-heading" id="h-weeks-this-year-ended-at-no-1-6">Weeks this year ended at No. 1: 6</h3>



<p>Through <a href="https://www.forbes.com/sites/susanadams/2019/10/31/the-100-billion-man-how-bernard-arnault-stitched-together-the-worlds-third-biggest-fortune-with-louis-vuitton-dior-and-77-other-brandsand-why-hes-not-done-yet/">predatory instinct</a>, Arnault has built a luxury empire that is the largest company in Europe by market capitalization. His LVMH owns dozens of brands, including fashion mainstay Louis Vuitton, alcohol producer Hennessy and cosmetics retailer Sephora. Earlier this year, LVMH completed a $15.8 billion acquisition of jeweler Tiffany &amp; Co., victorious after a contentious saga that began with an unsolicited takeover bid. Arnault <a href="https://www.forbes.com/sites/giacomotognini/2021/05/21/french-luxury-tycoon-bernard-arnault-is-now-tied-with-jeff-bezos-for-richest-person-in-the-world/">first became the world’s richest person</a> in May and, after <a href="https://www.forbes.com/sites/daviddawkins/2021/05/24/bernard-arnault-becomes-worlds-richest-person-as-lvmh-stock-rises/">some days</a> of <a href="https://www.forbes.com/sites/giacomotognini/2021/05/27/bernard-arnault-becomes-the-richest-person-in-the-world-for-the-third-time-this-week/">jostling</a>, he managed to hold Bezos off for about two weeks. When shares in Amazon fell in late July, Arnault <a href="https://www.forbes.com/sites/hanktucker/2021/07/30/bernard-arnault-once-again-the-worlds-richest-person-after-jeff-bezos-loses-nearly-14-billion-in-one-day/">reclaimed the number one position</a> and held on for most of August, before threats of Chinese wealth redistribution tanked European luxury stocks and caused Arnault’s fortune to plunge by more than $20 billion this week.</p>



<p><strong><em>By Kenrick Cai, Forbes Staff</em></strong></p>


Elon Musk Visits Site Of New Tesla Gigafactory In Germany

Elon Musk Is Now The Second Richest Person In The World


<p>Jeff Bezos is no longer the richest person on the planet, and this time it’s not because he physically left earth in a Blue Origin rocket. Amazon stock cratered 7.6% Friday after the company reported second quarter earnings Thursday afternoon—shaving $13.9 billion off its founder’s fortune in one day and pushing Bezos behind French tycoon Bernard Arnault.</p>



<p>Shares of Arnault’s luxury goods conglomerate LVMH fell by 1.4% Friday, making Arnault $2.9 billion poorer as well, but he still finished the week with an estimated net worth of $192.9 billion, $500 million ahead of Bezos. The two&nbsp;<a href="https://www.forbes.com/sites/giacomotognini/2021/06/10/after-two-weeks-at-no-2-jeff-bezos-is-once-again-the-richest-person-in-the-world/?sh=44e6163557aa">played leapfrog</a>&nbsp;for the top spot in late May and early June, but Bezos had spent the last 50 days as the world’s richest person, notwithstanding his brief interstellar excursion on July 20.</p>



<p>After Arnault got more than <a href="https://www.forbes.com/sites/giacomotognini/2021/04/13/how-lvmh-chief-bernard-arnault-got-nearly-100-billion-richer-over-the-past-year/?sh=39ada77692f1">$100 billion richer</a> during the first year of the pandemic, LVMH’s rally has plateaued for most of the summer. Arnault owns a 47% stake in the company, which has a market capitalization of more than $400 billion. Its subsidiaries include Louis Vuitton, Moët &amp; Chandon, Christian Dior and Tiffany &amp; Co.</p>



<p>Despite the stock drop, Amazon was far from a failure in the second quarter. The business generated $113 billion in revenue—27% higher than the same period last year—and $7.8 billion in net profit. But stockholders were hoping the embarrassment of riches would be even larger, especially after first quarter revenue grew 44%. Amazon said Thursday that it predicts third quarter revenue to be between $106 billion and $112 billion, lower than the $119 billion analysts were expecting. Amazon’s chief financial officer, Brian Olsavsky, attributed the slowdown to people feeling more comfortable leaving home to shop and spend on other activities compared with last spring and summer during the heart of the pandemic.</p>



<p>Amazon’s decline also lowered the net worth of Bezos’ ex-wife MacKenzie Scott to an estimated $56 billion, a $4.6 billion drop on Friday, making her the 22nd-richest person in the world.</p>



<p>Aside from Bezos and Scott, most of the week’s biggest billionaire losers reside in China, where stocks continued to fall due to the country’s&nbsp;<a href="https://www.forbes.com/sites/ywang/2021/07/27/chinas-internet-tycoons-suffer-136-billion-wealth-drop-as-regulatory-crackdown-triggers-market-sell-off/?sh=337731be373c">ongoing tech crackdown</a>. This month, Chinese authorities forced app stores to&nbsp;<a href="https://www.forbes.com/sites/jonathanponciano/2021/07/04/china-bans-didi-from-app-stores-just-days-after-massive-us-ipo/?sh=5ad30e731202">remove ride-hailing giant Didi</a>&nbsp;within days of its U.S. IPO,&nbsp;<a href="https://www.forbes.com/sites/ywang/2021/07/25/chinas-tutoring-crackdown-sends-fortunes-of-education-billionaires-into-nosedive/?sh=5bf4861b256f">crippled online tutoring companies</a>&nbsp;by requiring them to register as nonprofits, ordered food delivery companies to provide more protections for their drivers and required tech conglomerate Tencent to relinquish exclusive licensing rights to online music.</p>



<p>Tencent CEO Ma Huateng’s fortune declined by $4.7 billion to $47.5 billion this week as the company’s shares fell by 8.5%. The CSI 300 Index, which tracks the performance of the largest stocks listed in China, declined by 5.5% this week, and the Hang Seng Index tracking the Hong Kong stock market fell by 5%.</p>



<h2 class="wp-block-heading" id="h-here-are-the-billionaires-whose-fortunes-fell-the-most-this-week">HERE ARE THE BILLIONAIRES WHOSE FORTUNES FELL THE MOST THIS WEEK.</h2>



<p><em>The net worth change is from close of markets Friday, July 23 to Friday, July 30.</em></p>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-1-jeff-bezos"><strong>1 | JEFF BEZOS</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-192-4-billion-down-16-8-billion">NET WORTH |&nbsp;<strong>$192.4 BILLION, DOWN $16.8 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-united-states">COUNTRY |&nbsp;<strong>UNITED STATES</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-amazon">SOURCE OF WEALTH |&nbsp;<strong>AMAZON</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-2-mackenzie-scott"><strong>2 | MACKENZIE SCOTT</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-56-billion-down-5-5-billion">NET WORTH |&nbsp;<strong>$56 BILLION, DOWN $5.5 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-united-states-1">COUNTRY |&nbsp;<strong>UNITED STATES</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-amazon-1">SOURCE OF WEALTH |&nbsp;<strong>AMAZON</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-3-ma-huateng"><strong>3 | MA HUATENG</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-47-5-billion-down-4-7-billion">NET WORTH |&nbsp;<strong>$47.5 BILLION, DOWN $4.7 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-china">COUNTRY |&nbsp;<strong>CHINA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-internet-media-tencent">SOURCE OF WEALTH |&nbsp;<strong>INTERNET MEDIA / TENCENT</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-4-wang-xing"><strong>4 | WANG XING</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-17-1-billion-down-4-2-billion">NET WORTH |&nbsp;<strong>$17.1 BILLION, DOWN $4.2 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-china-1">COUNTRY |&nbsp;<strong>CHINA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-e-commerce-meituan">SOURCE OF WEALTH |&nbsp;<strong>E-COMMERCE / MEITUAN</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-5-zhang-yong"><strong>5 | ZHANG YONG</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-11-1-billion-down-4-billion">NET WORTH |&nbsp;<strong>$11.1 BILLION, DOWN $4 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-singapore">COUNTRY |&nbsp;<strong>SINGAPORE</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-restaurants-haidilao">SOURCE OF WEALTH |&nbsp;<strong>RESTAURANTS / HAIDILAO</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-6-yang-huiyan"><strong>6 | YANG HUIYAN</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-27-9-billion-down-2-6-billion">NET WORTH |&nbsp;<strong>$27.9 BILLION, DOWN $2.6 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-china-2">COUNTRY |&nbsp;<strong>CHINA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-real-estate">SOURCE OF WEALTH |&nbsp;<strong>REAL ESTATE</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-7-hui-ka-yan"><strong>7 | HUI KA YAN</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-14-6-billion-down-2-6-billion">NET WORTH |&nbsp;<strong>$14.6 BILLION, DOWN $2.6 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-china-3">COUNTRY |&nbsp;<strong>CHINA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-real-estate-1">SOURCE OF WEALTH |&nbsp;<strong>REAL ESTATE</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-8-mukesh-ambani"><strong>8 | MUKESH AMBANI</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-77-6-billion-down-2-5-billion">NET WORTH |&nbsp;<strong>$77.6 BILLION, DOWN $2.5 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-india">COUNTRY |&nbsp;<strong>INDIA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-reliance-industries">SOURCE OF WEALTH |&nbsp;<strong>RELIANCE INDUSTRIES</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-9-pierre-omidyar"><strong>9 | PIERRE OMIDYAR</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-24-3-billion-down-2-5-billion">NET WORTH |&nbsp;<strong>$24.3 BILLION, DOWN $2.5 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-united-states-2">COUNTRY |&nbsp;<strong>UNITED STATES</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-ebay-paypal">SOURCE OF WEALTH |&nbsp;<strong>EBAY, PAYPAL</strong></h3>



<hr class="wp-block-separator"/>



<h2 class="wp-block-heading" id="h-10-li-xiting"><strong>10 | LI XITING</strong></h2>



<h3 class="wp-block-heading" id="h-net-worth-22-billion-down-2-5-billion">NET WORTH |&nbsp;<strong>$22 BILLION, DOWN $2.5 BILLION</strong></h3>



<h3 class="wp-block-heading" id="h-country-china-4">COUNTRY |&nbsp;<strong>CHINA</strong></h3>



<h3 class="wp-block-heading" id="h-source-of-wealth-medical-devices">SOURCE OF WEALTH |&nbsp;<strong>MEDICAL DEVICES</strong></h3>



<hr class="wp-block-separator"/>



<p><strong><em>By Hank Tucker, Forbes Staff</em></strong></p>


Billionaire LVMH Moet Hennessy Louis Vuitton SE Chairman Bernard Arnault at VivaTech 2021

Bernard Arnault Once Again The World’s Richest Person After Jeff Bezos Loses Nearly $14 Billion In One Day


<p><strong>TOPLINE</strong>: Shares of Amazon fell as much as 8% Friday after the e-commerce juggernaut disclosed a massive fine from European regulators for allegedly breaking regional privacy laws and posted second-quarter earnings results that failed to meet Wall Street expectations, putting the longtime market leader on track for its worst day in more than a year. </p>



<h3 class="wp-block-heading" id="h-key-facts">KEY FACTS</h3>



<p>As of 11:15 a.m. EDT, Amazon stock has plunged 7% Friday to about $3,349.50, pushing the firm&#8217;s market capitalization down below $1.7 trillion and wiping out nearly $130 billion from a closing level above $1.8 trillion Thursday.</p>



<p>Ushering in the massive losses, Amazon posted second-quarter revenue after Thursday&#8217;s market close of $113.1 billion—up 27% year over year, but falling short of average analyst expectations totaling $115 billion.</p>



<p>Despite soaring more than 48%, net income of more than $7.7 billion also fell slightly short of estimates, which called for about $7.8 billion.</p>



<p>The stark decline also comes after Amazon&nbsp;<a href="https://www.sec.gov/ix?doc=/Archives/edgar/data/0001018724/000101872421000020/amzn-20210630.htm" target="_blank" rel="noreferrer noopener">disclosed</a>&nbsp;a $885 million (746 million euros) fine, levied on July 16, by the Luxembourg National Commission for Data Protection, which claims Amazon&#8217;s processing of personal data did not comply with European regulations.&nbsp;</p>



<p>In the filing, Amazon, which in a statement asserts no data breach has occurred, said it believes the watchdog&#8217;s decision is &#8220;without merit&#8221; and that it intends to appeal the ruling and defend itself &#8220;vigorously&#8221; in the matter.</p>



<p>Amazon&#8217;s Friday plunge puts it on track for its worst one-day decline since the height of pandemic uncertainty tanked the broader market in March 2020.</p>



<h3 class="wp-block-heading" id="h-crucial-quote">CRUCIAL QUOTE&nbsp;</h3>



<p>&#8220;Consumers&#8217; online shopping levels are returning to more normal levels as they shift some spending to other entertainment sources and offline shopping,&#8221; Morningstar analyst Dan Romanoff said in a Friday note. &#8220;Meanwhile, the company continues to add capacity [and costs] at a breakneck pace in order to meet customer demand and one day delivery,&#8221; Romanoff added, pointing out Amazon has already nearly doubled its footprint during the last 18 months.</p>



<h3 class="wp-block-heading" id="h-surprising-fact">SURPRISING FACT</h3>



<p>Shares of Amazon are now down more than 10% from a record closing high of $3,719 earlier this month.</p>



<h3 class="wp-block-heading" id="h-tangent">TANGENT</h3>



<p>Amazon far underperformed the broader market Friday. The Dow Jones Industrial Average, which doesn&#8217;t include Amazon, ticked down just 0.2%, while the S&amp;P 500, which counts the retail giant as its third-largest component, fell 0.4%.</p>



<h3 class="wp-block-heading" id="h-chief-critic">CHIEF CRITIC</h3>



<p>“Maintaining the security of our customers’ information and their trust are top priorities. There has been no data breach, and no customer data has been exposed to any third party. These facts are undisputed,” Amazon said in a statement Friday. “The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation.”</p>



<h2 class="wp-block-heading" id="h-further-reading">FURTHER READING</h2>



<p><a href="https://www.bbc.com/news/business-58024116" target="_blank" rel="noreferrer noopener">Amazon hit with $886m fine for alleged data breach</a> <em>(BBC)</em></p>



<p><strong><em>By Jonathan Ponciano, Forbes Staff</em></strong></p>


Amazon Stock Loses $130 Billion In Market Value After $885 Million Fine And Disappointing Earnings Report


<p><strong>The company will begin offering commercial spaceflights next year, with an eventual goal of multiple flights per day around the world.</strong></p>



<p>n Sunday, Virgin Galactic hit a crucial milestone on its road to make commercial space tourism a reality starting in 2022: sending a fully crewed ship to space that included founder and billionaire Richard Branson. But Branson won’t be leading the charge, as he plans to step back and focus on his charitable foundations. That leaves Michael Colglazier as the “steely-eyed missile man” in charge of the company’s mission.</p>



<p>As CEO of the space tourism company, it’s Colglazier’s job to get ready for paying customers, with shareholders looking over his shoulder to make sure he does. (Not to mention the over 600 people who’ve already bought spaceflight tickets &#8211; some of whom have been holding them for over a decade). His goal is to get the company to the point where it starts opening its doors to taking customers to space starting next year.</p>



<p>Despite the pressure, the former president and managing director of Disney Parks, who took the reins of the space tourism company in July of last year, is upbeat and chipper at the end of this long day that saw the company’s founder get to the stars. Sitting down in New Mexico’s spaceport, which was built by the state for the purpose of facilitating space tourist flights the way airports facilitate airlines, he emphasizes that what Virgin Galatic needs to deliver is more than just a spaceflight, amazing as the singular event is.&nbsp;</p>



<p>“Our product, what we give you is a lifelong memory,” Colglazier says. “And so our focus is on the experience so that your emotions are so powerful that the memory is impressed upon you in a way you talk about it your whole life.”</p>



<p>To that end, he explains Virgin Galactic’s ultimate aim is to have spaceports located all over the world, not just New Mexico, which can offer more than just a place to hitch a ride to space, but a place that can “inspire” people to want to make their own journey. “We’ll be collaborating with New Mexico to figure out how to build a broader experience around the spaceport,” he says. “And that’s the product we’ll take to other locales.”&nbsp;</p>



<p>Doing that, he says, means operating at a near-daily cadence of spaceflights from every location it operates from, which will require a massive increase in the company’s manufacturing capacity. He estimates that each spaceport his company operates in will need “high single digit to low double digit” numbers of spaceships, along with multiple motherships needed to carry the spacecraft to altitude.</p>



<p>“We’re talking 400 flights a year for every spaceport we operate,” he says. “So we have to build a fleet. How many ships we need is going to depend on how quickly we can turn them around” for future spaceflights, he says. Something the company won’t be sure about until it’s done more tests with its next generation of spacecraft, the first of which has been built and is undergoing testing now.</p>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>“You saw the elegance of it, you saw how gracefully it goes,” says Colgrzier of the Unity launch. “It&#8217;s a ballet and it acrobatically moves to purposely give you this amazing view of the planet.”</p></blockquote>



<p>It’s also something that will happen with some competition. In just a few days, Amazon founder Jeff Bezos’ company Blue Origin is sending its founder to space on a test flight, and that company also plans on offering rides to customers. Colglazier says the market right now is way too big to worry about competition. However, he does then point out that Virgin’s experience is quite different from Blue Origin’s, starting with the fact that Virgin’s spacecraft are carried by plane while its competitor will lift customers up on a traditional rocket.&nbsp;</p>



<p>“We take off horizontally, and we believe there&#8217;s great value to that,” he says, describing how Virgin’s carrier planes take its spacecraft to around 45-50,000 feet before releasing them to rocket the rest of the way to space. “And you saw the elegance of it, you saw how gracefully it goes. It&#8217;s a ballet and it acrobatically moves to purposely give you this amazing view of the planet. ”</p>



<p>Getting to the point where the company can offer its “elegant” experience will likely be quite capital intensive. The company announced this morning that it’s selling an additional $500 million in shares. In a report published earlier this year, Morgan Stanley estimated the company likely won’t see positive free cash flow until 2028, though Colglazier dismisses that by saying “there are many financial models out there, and they range a lot because people are missing the data. Today will be a nice proof point of that.”</p>



<figure class="wp-block-image"><img decoding="async" src="https://thumbor.forbes.com/thumbor/960x0/https%3A%2F%2Fspecials-images.forbesimg.com%2Fimageserve%2F60ec998b6830238503a22689%2F1960x0.jpg%3Ffit%3Dscale" alt="Sirisha Bandla looks out the window at Earth while in zero-g."/><figcaption>While on the Unity 22 flight, Virgin Galactic VP Sirisha Bandla also conducted a scientific experiment.&nbsp;<small>VIRGIN GALACTIC</small></figcaption></figure>



<p>Virgin’s got other ways of bringing money in to build out its vision, too. Colglazier says the company intends to open up more spaceflight ticket sales in the summer or fall (it previously stopped offering tickets in 2013). It will also be using its suborbital spaceflights as a platform for scientific research. On Sunday’s flight with Richard Branson, company VP Sirisha Bandla was busy conducting a research experiment for Virgin customer the University of Florida. Research experiments, he says, can bring in around $600,000 per flight.&nbsp;</p>



<p>Ultimately, Colglazier says, his company will spend the next few years focused on building up and scaling out both its customer experiences and its research business, and then tackle other opportunities as they come. “We now have a really interesting organization and company that you would imagine could do other things,” he says. “But we want to make sure we get the economic engine moving first.” </p>



<p><em><strong>By Alex Knapp, Forbes Staff</strong></em></p>


Sir Richard Branson Rings Opening Bell As Virgin Galactic Holdings Joins NYSE

Virgin Galactic CEO Explains What’s Next After Billionaire Richard Branson’s Successful Spaceflight


<p><strong>The Amazon founder is heading to space in July. He isn&#8217;t the first billionaire astronaut, and he won&#8217;t be the last, but he will be the first to bring his own spaceship.</strong></p>



<p class="has-text-align-center"><strong><em>By Kenrick Cai, Forbes Staff</em></strong></p>



<p>On Monday, Jeff Bezos announced that he would fly into space in late July on his company Blue Origin’s spacecraft. The flight, scheduled for July 20, will take place just two weeks after Bezos steps down as CEO of Amazon, the e-commerce firm he founded in 1994. The occasion would make Bezos, now the&nbsp;<a href="https://www.forbes.com/real-time-billionaires/#1028f1363d78">world’s second-richest person</a>, the first of the “space billionaires”—entrepreneurs who are funding space industry innovations—to personally visit outer space. But Bezos isn’t the first, and he’s far from the last billionaire astronaut. (The big question mark? Elon Musk, who has often stated his desire to travel into space but hasn&#8217;t yet announced concrete plans to do so.)</p>



<p>Here are the billionaires who have already gone to space or are scheduled to go to space soon:</p>



<h2 class="has-text-align-center wp-block-heading" id="h-the-billionaires-who-ve-already-been-to-space"><strong>The Billionaires Who’ve Already Been To Space</strong></h2>



<h3 class="wp-block-heading"><strong>Charles Simonyi</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-1024x839.jpg" alt="" class="wp-image-51260" width="512" height="419" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-1024x839.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-300x246.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-768x629.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-1536x1259.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-73941854-2048x1678.jpg 2048w" sizes="(max-width: 512px) 100vw, 512px" /><figcaption> (Photo by Bill Ingalls/NASA via Getty Images)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>April 2007 and March 2009</h4>



<h4 class="wp-block-heading"><strong>Where:</strong>&nbsp;International Space Station</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>Russian Soyuz via Space Adventures</h4>



<p>Charles Simonyi, who built the first versions of Microsoft Office, was the first billionaire to go to space, and he remains the only one who’s gone twice. The Hungarian-born software developer joined Microsoft as its 40th employee in 1981 and stayed until 2002, before rejoining in 2017 when his former employer acquired his new company, Intentional Software. During his time away from the tech giant, Simonyi took two trips to the International Space Station via  space tourism firm Space Adventures, which together cost him some $60 million. Said Simonyi of the experience during a <a href="https://www.forbes.com/sites/katiasavchuk/2015/01/04/what-to-pack-for-space-travel-charles-simonyi-space-adventures-virgin-galactic/">2015 interview with <em>Forbes</em></a>: “Every 90 minutes, you see spring, you see fall, you see the Arctic, you see the tropics, you see night, you see day.”</p>



<h3 class="wp-block-heading"><strong>Guy Laliberté</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-1024x780.jpg" alt="" class="wp-image-51263" width="552" height="420" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-1024x780.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-300x229.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-768x585.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-1536x1170.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-91787549-2048x1560.jpg 2048w" sizes="(max-width: 552px) 100vw, 552px" /><figcaption>(Photo credit should read YURI KOCHETKOV/AFP via Getty Images)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>September 2009</h4>



<h4 class="wp-block-heading"><strong>Where:</strong>&nbsp;International Space Station</h4>



<h4 class="wp-block-heading"><strong>How:</strong>&nbsp;Russian Soyuz via Space Adventures</h4>



<p>Former fire-breathing street performer Guy Laliberté got rich after cofounding circus entertainment company Cirque Du Soleil in 1984. The Canadian entrepreneur grew it into an international operation, then finally took a months-long break in 2009 to train for a flight to the International Space Station. He paid $35 million for the ticket, which was Space Adventures’ final private spaceflight for more than a decade. “Basically you&#8217;re going through a car crash,” he <a href="https://www.forbes.com/sites/stevenbertoni/2011/06/09/why-cirque-du-soleil-billionaire-guy-laliberte-traveled-to-space/">said of the landing</a>. “As soon as we hit the ground I wanted to go back up there and do the ride again.”</p>



<h2 class="has-text-align-center wp-block-heading" id="h-the-billionaires-heading-to-space-in-the-near-future"><strong>The Billionaires Heading To Space In The Near Future</strong></h2>



<h3 class="wp-block-heading"><strong>Jeff Bezos</strong></h3>



<h4 class="wp-block-heading"><strong>When:</strong>&nbsp;July 2021</h4>



<h4 class="wp-block-heading"><strong>Where:</strong>&nbsp;Kármán line</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>Blue Origin New Shepard</h4>



<p>Since founding Blue Origin in 2000, Bezos, the world’s second richest person, has pumped an estimated $7.5 billion of his own cash into the aerospace company, according to space-focused venture firm Space Capital. Bezos announced Monday that he, alongside younger brother Mark, will be passengers on the firm’s first crewed space flight, set to launch on July 20, just two weeks after he transitions to become the executive chairman of Amazon. The flight is scheduled to cross the Kármán line, the internationally recognized border to outer space, more than 60 miles above the Earth’s surface, before making its descent. “Ever since I was five years old, I’ve dreamed of traveling to space,” Bezos said in an Instagram post on June 7.</p>



<h3 class="wp-block-heading"><strong>Jared Isaacman</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-1024x683.jpg" alt="" class="wp-image-51261" width="516" height="344" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-1024x683.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-300x200.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-768x512.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-1536x1024.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1230932973-2048x1365.jpg 2048w" sizes="(max-width: 516px) 100vw, 516px" /><figcaption>(Photo by Patrick T. FALLON / AFP) (Photo by PATRICK T. FALLON/AFP via Getty Images)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>September 2021</h4>



<h4 class="wp-block-heading"><strong>Where:</strong>&nbsp;Geocentric orbit</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>SpaceX Dragon spacecraft</h4>



<p>Payment processing entrepreneur Jared Isaacman is also a flight geek—<a href="https://www.forbes.com/sites/giacomotognini/2020/10/07/meet-the-new-billionaire-who-dropped-out-of-high-school-and-flies-fighter-jets-for-fun/">he’s flown in air shows, and pilots fighter jets for fun</a>. Now, Isaacman is set to be the commander on the world’s first <a href="https://www.forbes.com/sites/valeriestimac/2021/02/01/spacex-announces-first-all-civilian-mission-to-space-inspiration4/">all-civilian mission to space</a>. The billionaire purchased all four seats aboard the SpaceX-operated flight, which is meant to raise awareness for St. Jude Children’s Hospital; among <a href="https://www.forbes.com/sites/valeriestimac/2021/03/30/meet-the-final-two-members-of-the-worlds-first-all-civilian-spaceflight-mission-inspiration4/">the crewmates</a> selected is Hayley Arceneaux, a childhood cancer survivor.</p>



<h3 class="wp-block-heading"><strong>Yusaku Maezawa</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-1024x747.jpg" alt="" class="wp-image-51265" width="575" height="419" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-1024x747.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-300x219.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-768x560.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-1536x1120.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1047841562-2048x1494.jpg 2048w" sizes="(max-width: 575px) 100vw, 575px" /><figcaption> (Photo by TOSHIFUMI KITAMURA/AFP via Getty Images)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>December 2021 and month TBD in 2023</h4>



<h4 class="wp-block-heading"><strong>Where:&nbsp;</strong>International Space Station and around the Moon</h4>



<h4 class="wp-block-heading"><strong>How:</strong>&nbsp;Russia Soyuz via Space Adventures and SpaceX Starship</h4>



<p>Japanese billionaire Maezawa made his fortune by founding Zozotown, which at one point was his home country’s largest online fashion mall. In 2018, SpaceX’s Elon Musk announced that Maezawa would be its first private customer to fly around the Moon. Earlier this year, the entrepreneur <a href="https://www.forbes.com/sites/valeriestimac/2021/05/13/japanese-billionaire-yusaku-maezawa-announces-new-space-tourism-flight-plan-for-late-2021/">added another space destination</a> to his plans: through Space Adventures, he will now be the first space tourist to visit the International Space Station since Laliberté in 2009.</p>



<h3 class="wp-block-heading"><strong>Richard Branson</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-1024x683.jpg" alt="" class="wp-image-51262" width="608" height="405" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-1024x683.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-300x200.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-768x512.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-1536x1024.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1178649355-2048x1365.jpg 2048w" sizes="(max-width: 608px) 100vw, 608px" /><figcaption> (Photo by Drew Angerer/Getty Images)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>Late 2021 (exact time TBD)</h4>



<h4 class="wp-block-heading"><strong>Where:&nbsp;</strong>About 55 miles above the Earth’s surface</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>Virgin Galactic Unity spacecraft</h4>



<p>Continued setbacks mean Bezos is set to beat Branson as the first “space billionaire” to reach outer space. Branson is scheduled to be a passenger on Virgin Galactic’s third rocket-powered test flight, which CEO Michael Colglazier earlier told investors was planned to launch by March of this year. The first of those flights was ultimately completed in May; Branson’s flight, the third in the Virgin Galactic test flight series, is scheduled for later this year. The flights take passengers to about 55 miles above the Earth’s surface, which meets the FAA’s definition of spaceflight. After the series of test flights is completed, the company’s commercial service will begin operation. More than 600 passengers, including actors Angelina Jolie and Tom Hanks, have already booked flights. Some have waited more than a decade since their ticket purchase.</p>



<h3 class="wp-block-heading"><strong>Sergey Brin</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-1024x750.jpg" alt="" class="wp-image-51266" width="508" height="372" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-1024x750.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-300x220.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-768x562.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-1536x1124.jpg 1536w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-1057560642-2048x1499.jpg 2048w" sizes="(max-width: 508px) 100vw, 508px" /><figcaption> (Photo by Kelly Sullivan/Getty Images for Breakthrough Prize)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:&nbsp;</strong>TBD</h4>



<h4 class="wp-block-heading"><strong>Where:&nbsp;</strong>International Space Station</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>TBD via Space Adventures</h4>



<p>In 2008, Google cofounder Sergey Brin became an investor in Space Adventures through a $5 million deposit usable for a future orbital spaceflight. While Space Adventures will be resuming its private flights to the International Space Station this year, starting with billionaire Maezawa, it is unclear if or when Brin plans to go up.</p>



<h3 class="wp-block-heading"><strong>Tyler and Cameron Winklevoss</strong></h3>



<div class="wp-block-image"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-860x1024.jpg" alt="" class="wp-image-51264" width="540" height="643" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-860x1024.jpg 860w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-252x300.jpg 252w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-768x914.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-1291x1536.jpg 1291w, https://cms.forbesafrica.com/wp-content/uploads/2021/06/GettyImages-676417528-1721x2048.jpg 1721w" sizes="(max-width: 540px) 100vw, 540px" /><figcaption>  (Photo by Gregg DeGuire/WireImage)</figcaption></figure></div>



<h4 class="wp-block-heading"><strong>When:</strong>&nbsp;TBD</h4>



<h4 class="wp-block-heading"><strong>Where:&nbsp;</strong>Suborbital space</h4>



<h4 class="wp-block-heading"><strong>How:&nbsp;</strong>Virgin Galactic spacecraft</h4>



<p>he Winklevoss twins are among the hundreds of passengers who have booked commercial space flights through Virgin Galactic, though they remain the only (publicly disclosed) customers who used bitcoin for the purchase. They used the cryptocurrency to purchase a pair of tickets that cost the equivalent of $250,000 each in January 2014. Based on current trading prices, the bitcoin they spent is worth more than $10 million today.</p>


gettyimages-1171215140-594×594-1

Jeff Bezos And The Other Billionaire Space Cowboys


<p><a href="https://www.forbes.com/profile/jeff-bezos/?sh=28bb8a6a1b23">Jeff Bezos</a>&nbsp;didn’t have to wait long to reclaim his throne as the richest person in the world: A few hours after&nbsp;<a href="https://www.forbes.com/sites/daviddawkins/2021/05/24/bernard-arnault-becomes-worlds-richest-person-as-lvmh-stock-rises/?sh=355a97ab2ad9">losing</a>&nbsp;the title to French luxury fashion magnate&nbsp;<a href="https://www.forbes.com/profile/bernard-arnault/?sh=23d080666fa4">Bernard Arnault</a>, he’s now back at No. 1 after Amazon’s shares ticked up when markets opened in New York. As of 1:30 pm ET, Bezos leads with a fortune of $188.4 billion, ahead of Arnault’s $187.3 billion.</p>



<p>The two men entered the weekend on level terms, worth $186 billion each, after shares in Arnault’s&nbsp; luxury goods conglomerate LVMH rallied in the second half of last week. LVMH stock performed even better on Monday, closing nearly 1% higher and boosting Arnault’s fortune by $1.7 billion—enough for him to briefly eclipse Bezos and become the world’s richest person for a few hours. Then Amazon shares ticked up more than 1% as of 1:30 pm ET on Monday, making Bezos $2.4 billion richer today.</p>



<p>Arnault has briefly ranked as the world’s richest person several times already: Just before the markets closed on Friday in the U.S., Arnault was about $100 million&nbsp;<a href="https://www.forbes.com/sites/giacomotognini/2021/05/21/french-luxury-tycoon-bernard-arnault-is-now-tied-with-jeff-bezos-for-richest-person-in-the-world/?sh=364d38d42b91">richer</a>&nbsp;than Bezos, before ending the day with the same net worth. At around 10:30 am ET on December 16, 2019, Arnault&nbsp;<a href="https://www.forbes.com/sites/kristinstoller/2019/12/16/french-billionaire-bernard-arnault-was-briefly-the-worlds-richest-person-today/?sh=43b1d3ad7ce1">pushed</a>&nbsp;past Bezos to claim No. 1 for the first time, until Amazon shares closed higher and Arnault fell back to number two.</p>



<p>While Bezos is now trading the top spot with Arnault, he was previously locked into a tight competition with Tesla CEO&nbsp;<a href="https://www.forbes.com/profile/elon-musk/?sh=5a9c30fe7999">Elon Musk</a>, currently the third richest person in the world with a net worth of $150.8 billion. In early January, Musk overtook Bezos to become the richest on three separate occasions—on January 8, 12 and 14—before the Amazon founder definitively clawed his way back on January 15.</p>



<p>All three men have seen spectacular growth in their net worths throughout the pandemic, collectively gaining more than $300 billion. Since <em>Forbes</em> calculated net worths for its 2020 World’s Billionaires list at the worst of the market crash in March 2020, Bezos has gotten more than $75 billion richer, compared to gains of nearly $127 billion for Musk and $111 billion for Arnault. Bezos’ net worth peaked at a staggering $200 billion on two occasions: <a href="https://www.forbes.com/sites/jonathanponciano/2020/08/26/worlds-richest-billionaire-jeff-bezos-first-200-billion/?sh=495faf434db7">first</a> in August 2020 and <a href="https://www.forbes.com/sites/sergeiklebnikov/2021/04/28/jeff-bezos-is-once-again-worth-a-staggering-200-billion/?sh=287e3af24b4e">again</a> late last month in April 2021.</p>



<p><em><strong>By Giacomo Tognini, Forbes Staff</strong></em></p>


Jeff Bezos’s India Visit Marked By Probe and Protests

After Briefly Dropping To No. 2, Jeff Bezos Is Again The Richest Person In The World


<p><strong>Amazon, Facebook, TikTok and a growing number of venture-backed startups are all seeking to replicate QVC&#8217;s success selling stuff via live demos and time-pressured promotions. But the original home shopping is still way ahead &#8211; for now.</strong></p>



<p class="has-drop-cap">In March, a year into the pandemic, QVC is pitching a predictably eclectic assortment of items. A set of three collapsible storage boxes for $33, perfect for the springtime ritual of clearing away clutter — 28,000 sold! A pink amaryllis bulb for Easter – yours for three payments of $10.89! An “ingenious” planter in the shape of a frog — only 500 left!</p>



<p>Hardly the essentials needed to endure a lockdown, but it’s made for brisk business for QVC and its sister channel HSN, which now reach into 380 million homes worldwide and continue to find a massive audience for its hokey sales pitches that push everything from mattresses and mops to cooking supplies and jewelry.</p>



<p>Last year, the two channels — plus a handful of smaller clothing and home décor brands — delivered revenue of $11.4 billion for publicly-traded Qurate Retail. QVC has been around for 35 years but has suddenly become the company to beat in the industry’s new fervor for live shopping. Amazon, Facebook and TikTok are in hot pursuit, along with a number of venture-backed startups. Walmart wants in too, as do Macy’s, Nordstrom, Urban Outfitters, Wayfair, Estee Lauder, Tommy Hilfiger and Levi Strauss, all of whom have begun to experiment with the approach as a way of reaching shoppers who are staying at home — and may never come back.</p>



<p>“They are more relevant now than ever,” says Neil Saunders, managing director of GlobalData Retail, of the two channels born at the dawn of the cable TV era.</p>



<div class="wp-block-image"><figure class="alignleft size-large is-resized"><img loading="lazy" decoding="async" src="https://www.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-683x1024.jpg" alt="" class="wp-image-50467" width="175" height="262" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-683x1024.jpg 683w, https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-200x300.jpg 200w, https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-768x1152.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-1024x1536.jpg 1024w, https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-1365x2048.jpg 1365w, https://cms.forbesafrica.com/wp-content/uploads/2021/03/GettyImages-1180313883-scaled.jpg 1707w" sizes="(max-width: 175px) 100vw, 175px" /><figcaption>Qurate Retail Group CEO Mike George . (Photo by Jemal Countess/Getty Images for Fashion Footwear Charitable Foundation )</figcaption></figure></div>



<p>Livestream shopping, the internet-era name given to programming that leans heavily on lively demos, time-pressured promotions and real-time interactions with shoppers, is set to grow four-fold to $25 billion in the U.S. in the next two years, according to Coresight Research. And that’s nothing compared to what’s happening in China, where data firm iResearch expects consumers to spend $300 billion on livestream purchases this year, about 15% of the country’s total online sales. Qurate, with 22 million active customers, is the largest in the U.S. by far and still growing, adding 7.6 million new shoppers during 2020. Shares of Qurate, which is controlled by cable billionaire John Malone, have delivered total returns of 300% in the past 12 months.</p>



<p>“The world is shifting to what we do,” says Qurate CEO Mike George, who is set to retire at the end of the year. “As we see others copy what we do, it motivates us to move that much faster to expand our leadership.”</p>



<p>While most livestreamers are still fumbling for footing, QVC is a well-oiled machine that has already won over millions of bargain-hunting, middle-aged women, who buy an average of 26 items every year at a cost of $1,335, an enviable advantage. Big tech is still in the trial and error phase. Amazon’s first effort, “Style Code Live,&#8221; was cancelled in 2017 after a year. The online behemoth has since revamped the strategy to allow brands and influencers to host their own livestreams, which run throughout the day on the Amazon Live page. Last year, Facebook&nbsp;<a href="https://about.fb.com/news/2020/05/introducing-facebook-shops/" target="_blank" rel="noreferrer noopener">began making it easier</a>&nbsp;for small businesses to sell products during livestream sessions, while TikTok is running tests with Walmart. A pilot event in December attracted seven times more viewers than it anticipated, prompting&nbsp;<a href="https://corporate.walmart.com/newsroom/2021/03/09/walmart-doubles-down-on-tiktok-shopping-hosts-all-new-live-stream-shopping-event" target="_blank" rel="noreferrer noopener">a second livestream earlier this month</a>.</p>



<p>A rash of copycats has also emerged, with ambitions of overtaking the incumbent with a slicker, more digitally savvy version geared toward young shoppers. “I love it,” says George, who keeps a thick file of stories about companies purporting to be the ‘new QVC,’ most of them failed. “It’s good to be talked about.”</p>



<p>If any of them do gain traction, they could threaten the value of that 380-million home reach. That’s why George has embraced streaming services like YouTube TV, the company&#8217;s own branded websites and mobile apps, as well as social media. He’s now testing 15-second spots on TikTok and on-demand content like a 30-minute show where celebrity chef Curtis Stone travels to far-flung destinations to sample local cuisine. A new app, currently in beta in the U.K., will let users themselves livestream content, the same kind of user-generated content approach that has boomed in China.</p>



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"><p>The world is shifting to what we do. As we see others copy what we do, it motivates us to move that much faster to expand our leadership.</p><cite>-Mike George, CEO of Qurate Retail</cite></blockquote>



<p>George won’t disclose how many orders still start with a customer tuning in through their television, and instead points out that QVC and HSN are now mostly digital businesses, with about 60% of their revenue coming from online sales and two-thirds of those purchases made from mobile devices. Still, sales rose just 5% in 2020, hardly the numbers posted by a game-changing growth business.</p>



<p>The 59-year-old retail veteran began running QVC in 2005, shortly after cable giant Comcast sold its stake in the business to Malone’s Liberty Media Corp. in 2003, and oversaw the&nbsp;<a href="https://www.nytimes.com/2017/07/06/business/dealbook/qvc-home-shopping-network-merger.html" target="_blank" rel="noreferrer noopener">2017 acquisition</a>&nbsp;of its main rival, HSN. Before he took the job, he was put off by what felt like a dated concept even then, but was won over by its connection with customers and the way it sent units flying out the door. The son of a carpenter who learned as a kid he was no good with his hands, George&nbsp;<a href="https://www.nytimes.com/2008/09/21/jobs/21boss.html" target="_blank" rel="noreferrer noopener">became convinced that QVC’s “best days were yet to come.”</a></p>



<p>“The people that watch QVC and HSN and buy stuff on there woke up that morning and didn’t know they needed a pan or makeup or whatever it is,” says Evercore ISI retail analyst Oliver Wintermantel. Its biggest problem? An aging audience.</p>



<p>That’s what led him&nbsp;<a href="https://www.wsj.com/articles/qvc-to-acquire-online-shopping-site-zulily-for-2-4-billion-1439813202" target="_blank" rel="noreferrer noopener">to pay $2.4 billion for flash sales site Zulily</a>&nbsp;in 2015, giving him a brand that also relies on time-pressured promotions but is popular among moms with young children. He also ramped up the marketing budget for QVC and HSN to $170 million last year, with a focus on social media ads and partnerships with influencers.</p>



<p>George says he’s got the problem in hand, but not because he believes that youth is the future. Gen Z shoppers lack the disposable income, hobbies and life experience to be interested in what he’s selling. “We’ve never worried a whole lot about being cool,” he says. Instead, he sees plenty of runway left for his core audience of women 35 and older.</p>



<p>His bigger worry is becoming a showroom for Amazon. That’s led to exclusive merchandise deals, both with emerging entrepreneurs like IT Cosmetics founder Jamie Kern Lima and celebrities like Katy Perry, Martha Stewart, Jaime Foxx and HGTV’s Property Brothers, who are drawn to the company’s massive reach.&nbsp;</p>



<p>One of those lines was with plus-sized model Hunter McGrady, the curviest woman ever featured on the cover of the Sports Illustrated Swimsuit Issue, who watched QVC with her mom growing up and debuted a clothing line with the channel last year. She worked with the in-house design team to create a line of hoodies, joggers and cardigans in sizes XXS to 5x, then began going on-air to walk customers through the story behind each piece. Doing it live she can demonstrate how the clothing moves on her body. On one segment, the 27-year-old explained how she created a ruched tank top because she could never find one that sufficiently covered her backside. She has sold 155,000 units since launching last April, most to customers she never would have reached on her Instagram page.&nbsp;</p>



<p>“I think what a lot of livestream shopping folks miss is they’re trying to sell you something in the moment with technology, a flashy influencer and slick production values,” says George, who says his viewers often watch hours and hours of programming before springing for a purchase. “They’re not establishing any connection, relationship or intimacy with you. They’re not enticing you to come back tomorrow to discover something new. That is the magic of what we try and do.” </p>



<p><em>-by Lauren Debter,Forbes Staff</em></p>


Teleshopping

Where QVC Is Still Way Ahead Of Amazon


<p>When Chinese e-commerce company Pinduoduo announced on Wednesday that it had reached 788.4 million active users, surpassing Alibaba’s 779 million and Amazon’s 300 million, its founder and chairman, Colin Huang, revealed he’d be&nbsp;<a href="https://www.forbes.com/sites/palashghosh/2021/03/17/pinduoduo-is-now-chinas-biggest-e-commerce-platform-as-billionaire-chairman-colin-huang-steps-down/">stepping down</a>. But why would Huang, who resigned as CEO in July and has a net worth of $50 billion according to&nbsp;<em>Forbes’</em>&nbsp;estimate, exit upon reaching such a milestone?&nbsp;</p>



<p>Rarely is stepping down easy for a chief executive, but it can be especially challenging for those who are employee No. 1. For Huang, the increased scrutiny his company, as well as the rest of the Chinese tech sector, has come under in recent months may have contributed to his decision to walk away. He’s not the only founder to have done so in recent months.&nbsp;</p>



<p>After CEO churn dropped 20% year-over-year with&nbsp;<a href="https://www.challengergray.com/blog/companies-ramp-up-ceo-changes-in-february-turnover-spikes-to-106/" target="_blank" rel="noreferrer noopener">1,314 exiting</a>&nbsp;in 2020—due, in part, to companies’ reluctance to make major leadership changes amid the coronavirus crisis—195 departed in the first two months of 2021, according to recruiting firm Challenger, Gray &amp; Christmas. Several have been founders. And while some did not resign voluntarily—including John Matze, who was ousted as the CEO of Parler after Amazon Web Services took the social app offline in response to its ties to the attack on the U.S. Capitol, and Leon Black, who stepped down as CEO of Apollo Global Management following an independent review of his relationship with late financier and convicted sex offender Jeffrey Epstein—most stepped down on their own accord, a result, says Jane Stevenson, vice chair of organizational consultancy Korn Ferry, of the pandemic.&nbsp;</p>



<p>“People are more mindful of the things they want to do, and if it’s a successful founder, there may be other priorities that they want to address sooner than later,” she says. “I’ve seen CEOs and board members who have said, ‘You know what, life is really short, and this is too much. I’m out.’”</p>



<p>For evidence of this trend, look no further than one of the most notable founder-CEO resignations of the year so far: Amazon’s billionaire Jeff Bezos. In February, he announced plans to step down as chief executive of the e-commerce giant he launched from his Seattle garage in 1994. Bezos, who&nbsp;<em>Forbes</em>&nbsp;estimates is worth $178.1 billion, will be taking on the role of executive chair, while Amazon Web Services CEO Andy Jassy succeeds him. In a memo to staff about the news, he&nbsp;<a href="https://www.aboutamazon.com/news/company-news/email-from-jeff-bezos-to-employees" target="_blank" rel="noreferrer noopener">wrote</a>, “When you have a responsibility like that, it’s hard to put attention on anything else,” nodding to the time he now hopes to spend on his philanthropic Day 1 Fund and Bezos Earth Fund, aerospace company Blue Origin and&nbsp;<em>The Washington Post</em>.&nbsp;</p>



<p>At the time his announcement took the world by surprise, but perhaps it shouldn’t have. Amazon had just reported a record-breaking $125.6 billion in sales during the fourth quarter, and after 27 years at the helm, he’s going out on top, having spent more time in the chief executive role than most of his counterparts: While the average CEO tenure is longer than that of any other C-suite executive, it’s just 6.9 years, down from 8 years in 2016, according to <a href="https://www.kornferry.com/about-us/press/age-and-tenure-in-the-c-suite" target="_blank" rel="noreferrer noopener">data</a> from Korn Ferry. “There are a lot less CEOs that have been over a decade in the job than there used to be,” Stevenson says. Many of the founder-CEOs who’ve stepped down this year have, like Bezos, been exceptions to this rule. “Founders are very tightly tied to the organizations [they start], from an identity standpoint,” she adds.</p>



<p>Kendra Scott, for example, stepped down as CEO of her namesake jewelry business in February, nearly 20 years after founding the company. With a majority stake in the brand, the Texas jewelry tycoon is worth $510 million by&nbsp;<em>Forbes’</em>&nbsp;estimate, and like Bezos, will remain involved with her brand, focusing on design, customer experience and philanthropy as executive chairwoman when Tom Nolan, currently president, takes over. After guiding her business through a period of rapid retail transformation in response to Covid-19, it’s likely Scott sees the impending return to normalcy as an opportunity for a leadership transition.&nbsp;</p>



<p>“It might be a time for a change. It might be that the CEO says, ‘You know what, I&#8217;m going to see it through to stability but then I&#8217;m done,’” Stevenson says. “I think everybody’s been holding on in a lot of ways for a year.”</p>



<p>That’s certainly the case for Girls Who Code CEO Reshma Saujani. A decade after founding the nonprofit, she decided it’s due for a leadership change, and when she steps down in April to become board chair, her COO, Dr. Tarika Barrett, will step up. “I&#8217;m a big believer that leaders cannot or should not stay in organizations forever, and that you can’t stay innovative if you have the same person leading the movement forever,” Saujani told<a href="https://www.forbes.com/sites/maggiemcgrath/2021/02/10/exclusive-dr-tarika-barrett-to-succeed-reshma-saujani-as-girls-who-code-ceo/"> <em>Forbes</em></a> in an exclusive interview last month. “I think that especially with Covid-19 happening, we were at a juncture as an organization. And in many ways, that is the right time for leadership change.” </p>



<p>A time of crisis can shine a light on the importance of succession planning, especially for founder-CEOs, who have both a professional and personal stake in their companies. For this reason, Stevenson says they tend to tap successors from within.</p>



<p>“When you think about where a company is heading, having the right leader to take it there is really critical,” Stevenson says. “It’s pretty clear from the data that it’s advantageous when possible to promote internally versus going externally for succession process, because you’ve got the cultural credibility, you&#8217;ve got an understanding, you’re already engaged in the market.”&nbsp;</p>



<p>It’s for this reason that just last week, a&nbsp;<a href="https://www.reuters.com/article/us-salesforce-com-ceo/exclusive-salesforces-taylor-emerges-as-ceo-candidate-sources-idUSKBN2B12C0?il=0" target="_blank" rel="noreferrer noopener">Reuters report</a>&nbsp;that said Salesforce COO Bret Taylor is being groomed to take over as chief executive led to speculation that billionaire founder Marc Benioff might be the next founder-CEO to make a move. If these recent founder exits are any indication, though, if he does depart, he’ll likely not be going very far.&nbsp;</p>



<p>“Very often, the founder moves to a chair role, whether it&#8217;s executive chair or non-executive chair,” Stevenson says. “It’s hard for a founder to step away entirely.”</p>



<p><em><strong>-by Samantha Todd, Forbes Staff</strong></em></p>


Amazon CEO Jeff Bezos Attends Amazon’s Annual Smbhav Event In Delhi

From Jeff Bezos To Kendra Scott: These Leaders All Recently Stepped Down From The Companies They Founded


<p><strong>South African- born, billionaire technology and space entrepreneur, Elon Musk, made history at the start of 2021, overtaking Amazon’s Jeff Bezos to become the richest man on Earth. While his fortune was made on this planet, his dreams to venture to the final frontier remain. FORBES AFRICA takes a look at his journey to becoming one of the world’s most celebrated innovators and one of the wealthiest men alive.</strong></p>



<p class="has-drop-cap">THE MAN WHO FAMOUSLY SAID THAT HE WOULDN’T BE HAPPY UNTIL WE WERE ALL LIVING ON MARS, IS NOW ONE OF THE RICHEST MEN ON EARTH. WHILE ELON MUSK’S PLANS TO BE BURIED IN A GALAXY FAR, FAR AWAY REMAIN UNCHANGED, HE’S STILL GOT MUCH TO CELEBRATE IN THE HERE AND NOW.</p>



<p>On January 8 this year, at approximately 11.30AM on the American East Coast, Musk, known for founding some of the world’s most progressive tech companies, along with his unrelenting space-age ambitions, made yet another historical leap.</p>



<p>His net worth soared by $12.5 billion, to $189.7 billion, making him, for a time, the wealthiest person on the planet, according to <em>Forbes</em>, who broke the news. For the first time, Amazon founder, Jeff Bezos, who had held the top spot for a record four years, came second with a cumulative net worth of $185 billion.</p>



<p>However, in a twist of fate, stock in his electric car company, Tesla, fell by 8%, denting his personal wealth by a hefty $14 billion, overnight. But like the man himself, Musk’s wealth wouldn’t be down for long.</p>



<div class="wp-block-image is-style-default"><figure class="aligncenter size-large is-resized"><img loading="lazy" decoding="async" src="https://www.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-819x1024.jpg" alt="" class="wp-image-49882" width="376" height="470" srcset="https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-819x1024.jpg 819w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-240x300.jpg 240w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-768x960.jpg 768w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-1229x1536.jpg 1229w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-1638x2048.jpg 1638w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-300x375.jpg 300w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-600x750.jpg 600w, https://cms.forbesafrica.com/wp-content/uploads/2021/02/GettyImages-1208933748-scaled.jpg 2048w" sizes="(max-width: 376px) 100vw, 376px" /><figcaption>UNIVERSAL CITY, CALIFORNIA &#8211; FEBRUARY 26: Model Maye Musk (Photo by Paul Archuleta/Getty Images)</figcaption></figure></div>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>Elon’s aim is to save the planet and he also loves the thought of going to Mars&#8230;. I get very excited every step of the way. We all do. Kimbal and Tosca [Elon’s siblings] and I go to the main [SpaceX] launches, we can’t go to all the launches, as he has launched, how many now&#8230; 50 rockets? I’m not sure. I lose track. But we go to the main ones, and we are anxious beforehand and excited afterward and we are very proud of him and support him with all this. He just feels that we should be inter-planetary, starting with Mars. Mars seems to be the most friendly [planet], and that is what he would like to explore.<br></p><cite>-Elon Musk’s mother Maye Musk, in an interview from Los Angeles with FORBES AFRICA last year about her memoir, <em>A Woman Makes A Plan</em>, released by Jonathan Ball Publishers</cite></blockquote>



<p>Days later, with the swift rebound of Tesla shares by 4.7%, he wrestled the top spot from Bezos with an impressive recovery of $7.8 billion bringing his total net worth to $183.8 billion against the Amazon founder’s, marginal, but impressive, $182.4 billion.</p>



<p>At the time of going to press, the yo-yo action continued. Tesla’s stock volatility returned Bezos to the top spot, making him the world’s richest by just $200 million, with Musk making a close second. The game is set to continue for much of the year, but it won’t do much to change the fact that both billionaires are still over $30 billion richer than their nearest competitor; the third person on the list, French luxury tycoon, Bernard Arnault,  according to <em>Forbes </em>estimates.</p>



<p>Musk’s dizzying ascent is quite an achievement given that, in 2014, he ranked 47th on the U.S. Rich List, compiled by <em>Forbes</em>, with his personal net worth hovering at the $9.4 billion mark, at contemporary rates.</p>



<p>Notwithstanding his meteoric rise, most studies of Musk begin at SpaceX, his landmark aerospace manufacturing outfit, launched in 2002 with plans to make space travel more affordable and meet its founder’s often parodied mandate to catalyze humanity’s colonization of Mars.</p>



<p>“I’d like to go to Mars. I suppose it depends on how old I am when I get there&#8230; But it’s not about me going to Mars. We’re developing new technologies to enable a large number of people to go to Mars and be able to develop a self-sustaining city on Mars,” he told <em>Forbes </em>in 2014.</p>



<p>Inter-planetary ambitions aside, Musk’s ideas often overshadow the story of his origins which are rooted in a very down-to-earth Pretoria suburb, a few miles north of Johannesburg, in South Africa. Born in 1971 to a Canadian mother and a South African father, it was clear that Musk was unique from the start.</p>



<p>“The kind of things he would come up with as a youngster was always surprising. When he was very small, he would ask me, ‘where is the whole world?’, when he was three or four. It was these sorts of questions that made me realize that he was a little different,” his father, Errol Musk, noted in a 2012 interview with FORBES AFRICA.</p>



<p>Eccentricities aside, the young Musk was equally academically gifted.</p>



<p>“We called Elon ‘The Encyclopedia’ because he had read the <em>Encyclopaedia Britannica </em>and <em>Collier’s Encyclopedia</em>, and remembered everything. That’s also why we called him ‘Genius Boy’. We could ask him anything. Remember, this was before the internet. I guess now we would call him ‘The Internet’,” his mother, Maye Musk, recalls in her 2019 autobiography, <em>A Woman Makes a Plan</em>.</p>



<p>Attending Pretoria Boys High School (PBHS), often considered one of the most prestigious schools in South Africa, a teenage Musk kept to himself but found plenty of company in computers. He taught himself how to program using an old manual and eventually sold a space-themed video game that he wrote called <em>Blastar, </em>to a computing magazine in 1984, reportedly for $500, arguably the earliest of his tech ventures.</p>



<p>“My impression is that Elon kept to himself and was relatively quiet and reserved. I believe he was involved with the computer club at school, but otherwise was not really visible in mainstream activities,” Gavin Ehlers, head-boy at PBHS in 1988, the same year Musk graduated, told FORBES AFRICA in 2012.</p>



<p>Yet, despite his remarkable talent and comfortable upbringing, Musk’s childhood was blighted with peculiar challenges. As the shortest, smallest, and smartest kid in the class, he was an easy target for bullies, who tormented him until he was 15 years old.</p>



<p>“I was a late bloomer. So I was the youngest and the smallest kid in class for years and years&#8230; The gangs at school would hunt me down – literally hunt me down,” Musk told <em>Rolling Stone </em>magazine in 2017.</p>



<p>At home, things weren’t easier. His parents divorced in 1980.</p>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>If somebody else is working 50 hours and you’re working a 100, you’ll get twice as much done in the course of the year as the other company.</p></blockquote>



<p>The tumult of his early life did much to shape the man that Musk would later become. Even as a youngster, he held strong to his principles. At the time, in apartheid South Africa, mandatory two-year military service was in force for all white males who had completed their secondary school or tertiary- level education. In his objection, Musk said he didn’t prescribe to what the state was doing to its citizens.</p>



<p>“I don’t have an issue with serving in the military per se, but serving in the South African army suppressing black people just didn’t seem like a really good way to spend time,” he explained in the 2007 book, <em>Rocketeers</em>, by Michael Belfiore.</p>



<p>At 17, Musk relocated to Canada to attend university in 1989. After a number of transfers, he graduated from the University of Pennsylvania, part of the prominent Ivy League in the United States, with a dual degree in Economics and Physics, setting him firmly on the path of a tech entrepreneur. Like all the greats, he dropped out of his Ph.D. program at Stanford, instead of establishing his first startup, against the euphoria of the dot-com boom of the nineties. He founded the company, Zip2, with his younger brother, Kimbal – who has been a keen business partner to Musk throughout his entrepreneurial career – in 1995.</p>



<p>“When my brother and I were starting our first company, instead of getting an apartment we rented a small office and slept on the couch. We were so hard-up we had just one computer so the website was up during the day and I was coding at night. Seven days a week&#8230; all the time. I briefly had a girlfriend during that period and in order to be with me she had to sleep at the office,” he said with a smile, during a 2014 Commencement Speech at the University of Southern California (USC).</p>



<p>Hard work is a cornerstone of Musk’s entrepreneurial ethos. His constant refrain to anyone who inquires on his success is to outwork the competition, where possible, to get that all important edge.</p>



<p>“If somebody else is working 50 hours and you’re working a 100, you’ll get twice as much done in the course of the year as the other company,” he told the audience at USC.</p>



<p>Clearly, the hard work has paid off for Musk who joined the five-man centi-billionaires club; all with a net worth over $100 billion, in August 2020.</p>



<p>Members include Facebook’s Mark Zuckerberg and veteran tech titan, Bill Gates.</p>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>&#8220;Given that as a South African, he has managed to conquer the industry he’s in should be an inspiration to us and to Africa, in general. There are many sides to him&#8230; But let us draw inspiration from him because he is a product of the public school system in South Africa.&#8221; &#8211;<strong><em><span class="has-inline-color has-vivid-red-color">Fred Khumalo, author and journalist, South Africa</span></em></strong></p></blockquote>



<p>However, it hasn’t been an easy ride to the top. In 2018, Tesla was in dire straits, the company was struggling to build a viable product and was hemorrhaging cash almost daily. Musk had already sunk a bulk of his early fortune in the business, some of which came from the $165 million sale of his stake in PayPal, the online payments pioneer, after his exit as CEO.</p>



<p>Leading the company during that time took a toll. In a very personal interview with <em>The New York Times</em>, Musk revealed that he was losing sleep and had spent most of his birthday working on the factory floor, where he was also spending most of his days and nights. The work had taken over to the point of almost missing Kimbal’s wedding, where he was the best man. A disheveled Musk admitted that while he regretted the havoc it wreaked on his life, he had no regrets about being so determined to pull Tesla from the brink of collapse.</p>



<p>“The worst is over from a Tesla operational standpoint. But from a personal pain standpoint&#8230; the worst is yet to come,” he told <em>The New York Times</em>.</p>



<p>Musk’s passion is evident in almost everything he has done, and in every business he has built. After leaving PayPal, and selling his stake in the company, he used a bulk of the $165 million fortune to found the companies that would make his name – SpaceX and Tesla. Any seasoned entrepreneur would have considered the move a risky one but Musk was quite adamant about his ambitions and making them a reality.</p>



<p>“I think there was like literally one week where I actually worked 120 hours and just didn’t leave the factory. I didn’t even go outside,” Musk told American television news magazine program, <em>60 Minutes</em>, in 2018.</p>



<p>His intense work ethic has not only worked to transform Tesla but has inspired a number of other young entrepreneurs to build the electric car industry and get rich in the process.</p>



<p>For example, William Li, who founded electric car maker, Nio, in 2014, was 12 times richer in 2020 thanks to his shares in the U.S.-listed carmaker.<br>In fact, he’s now among the world’s 500 richest people, according to the Bloomberg Billionaires Index. Chinese entrepreneur, He Xiaopeng, chairman of XPeng Motors, has also seen his wealth jump more than 600%. Overall, fortunes of the handful of people tracked by the Bloomberg index in the electric vehicle industry have gone up by over $140 billion including Musk’s $111 billion surge.</p>



<p>However, far removed from his status on the global billionaire league tables, which have come to form the foundation of his popularity, Musk maintains his very own niche but loyal following, all devoted to his Twitter feed; his preferred mode of communication. Muskians, as they are known, see him as an eclectic superhero figure of the modern age where he is at once a conscientious technology entrepreneur and demi-god.</p>



<p>However, in 2020, following statements made on the impact the Trump administration’s Covid-19 policy responses had on his business, Musk received heavy back- lash from the mainstream and even managed to alienate some of his loyal fans. But all is forgotten now that the South African-born entrepreneur is among the world’s richest men.</p>



<p>While his wealth may be a relentless conversation starter, globally, it’s hard to ignore Musk’s legacy in the business arena. The journey from a quiet, intelligent and passionate young entrepreneur to an influential manufacturing magnate has been driven not just by a belief in hard work but by an ability to settle for dreams beyond the stars.</p>



<p>For generations to come, his place in time will always be confirmed by his commitment to not only conjure up ‘moonshot’ ideas but to actively pursue them; to Mars and back.</p>



<p>&#8211;<strong><em>BY MARIE SHABAYA</em></strong></p>



<p><strong>Get Your Copy Of FORBES AFRICA <a href="https://www.forbesafrica.com/product/single-digital-issue-the-billionaires-list-feb-march-2021/">here</a></strong></p>



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Rockets To Riches: The Rise And Rise Of Elon Musk


<p id="h-topline"><strong>TOPLINE</strong> Amazon founder Jeff Bezos announced Tuesday he will step aside as CEO of the e-commerce giant to serve as executive chairman, a move he said will give him more time to focus on his other “passions.” Here are the causes Bezos said he’ll dedicate time to.</p>



<h4 class="wp-block-heading" id="h-key-facts">KEY FACTS</h4>



<p>In a Tuesday&nbsp;<a href="https://www.aboutamazon.com/news/company-news/email-from-jeff-bezos-to-employees" target="_blank" rel="noreferrer noopener">letter to Amazon employees</a>, Bezos said said he’ll use his new free time to focus on The Day One Fund, the $2 billion fund he&nbsp;<a href="https://www.forbes.com/sites/angelauyeung/2018/09/13/jeff-bezos-amazon-philanthropy-giving-billion-dollar-fund/?sh=743df02d1570">established in 2018</a>&nbsp;aimed at opening full-scholarship, Montessori-influenced preschools in underserved communities and funding nonprofits that support homeless families.</p>



<p>He also said he’ll work on the Bezos Earth Fund, which he kicked off a year ago with a&nbsp;<a href="https://www.forbes.com/sites/angelauyeung/2018/09/13/jeff-bezos-amazon-philanthropy-giving-billion-dollar-fund/?sh=743df02d1570">$10 billion pledge</a>&nbsp;(almost 10% of his net worth at the time) to combat climate change by issuing grants to “scientists, activists, NGOs—any effort that offers a real possibility to help&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2020/02/17/jeff-bezos-pledges-to-fight-climate-change-with-10-billion-earth-fund/?sh=79b4fb8b523b">preserve and protect the natural world</a>,” Bezos said.</p>



<p>Bezos also has Blue Origin, his&nbsp;<a href="https://www.forbes.com/sites/jonathanocallaghan/2021/01/14/blue-origin-launches-and-lands-its-first-space-tourism-rocket-of-the-year-with-human-flights-in-sight/?sh=12878c37283e">private spaceflight company</a>, which is developing rockets for commercial space tourism that he hinted could help NASA&nbsp;<a href="https://www.forbes.com/sites/alexknapp/2019/05/09/jeff-bezos-unveils-blue-origins-lunar-lander-announces-new-glenn-first-launch-for-2021/?sh=224700a7435a">take humans to the Moon</a>.</p>



<p>The billionaire said he’ll also dedicate more time to&nbsp;<em>The Washington Post,</em>&nbsp;which he purchased for&nbsp;<a href="https://www.forbes.com/sites/briansolomon/2013/08/05/jeff-bezos-buys-washington-post-for-250-million-less-than-1-of-his-net-worth/?sh=39ccde84331b">$250 million</a>&nbsp;in 2013, and helped to expand its digital presence and&nbsp;<a href="https://www.cnn.com/2019/08/16/media/jeff-bezos-donald-graham/index.html" target="_blank" rel="noreferrer noopener">ramp up revenue</a>.</p>



<p>Crucial quote</p>



<p>“I will stay engaged in important Amazon initiatives but also have the time and energy I need to focus on &#8230; my other passions. I’ve never had more energy, and this isn’t about retiring. I’m super passionate about the impact I think these organizations can have,” Bezos said in&nbsp;<a href="https://www.aboutamazon.com/news/company-news/email-from-jeff-bezos-to-employees" target="_blank" rel="noreferrer noopener">the letter</a>&nbsp;Tuesday.</p>



<h4 class="wp-block-heading" id="h-key-background">KEY BACKGROUND</h4>



<p>Bezos founded Amazon, which started out as an online bookstore, in 1994 out of his garage in Seattle. Now Amazon is one of the biggest companies in the world, and operates ventures in streaming, entertainment, groceries, delivery and more. Bezos is worth&nbsp;<a href="https://www.forbes.com/sites/sarahhansen/2021/02/02/jeff-bezos-to-step-down-as-amazon-ceo/?sh=394328711e5d">$196.4 billion</a>, according to Forbes. Amazon announced Tuesday Bezo would&nbsp;<a href="https://www.forbes.com/sites/sarahhansen/2021/02/02/jeff-bezos-to-step-down-as-amazon-ceo/?sh=394328711e5d">step down as CEO</a>&nbsp;and be replaced by&nbsp;<a href="https://www.forbes.com/sites/rachelsandler/2021/02/02/what-you-need-to-know-about-andy-jassy-amazons-new-ceo/">Andy Jassy</a>, who leads Amazon Web Services.</p>



<h4 class="wp-block-heading" id="h-further-reading">FURTHER READING</h4>



<p><a href="https://www.forbes.com/sites/sarahhansen/2021/02/02/jeff-bezos-to-step-down-as-amazon-ceo/?sh=394328711e5d">Jeff Bezos To Step Down As Amazon CEO</a>&nbsp;(<em>Forbes</em>)</p>



<p><a href="https://www.forbes.com/sites/rachelsandler/2021/02/02/what-you-need-to-know-about-andy-jassy-amazons-new-ceo/">What You Need To Know About Andy Jassy, Amazon’s New CEO</a> (<em>Forbes</em>)</p>



<p><em>By Carlie Porterfield, Forbes Staff</em></p>


Here’s What’s Next For Jeff Bezos After He Steps Down As Amazon CEO


<p>Tesla billionaire Elon Musk is the richest person in the world once again, overtaking Jeff Bezos as shares of Amazon fell on Thursday.</p>



<p>Amazon’s stock fell 1.2%, lowering Bezos’ net worth by $2 billion, to $182.8 billion. Shares of electric-vehicle maker Tesla, on the other hand, lost 1.1% on Thursday, pushing Musk’s net worth down by $1.8 billion.&nbsp;</p>



<p>Musk is now worth $182.9 billion, which again makes him the wealthiest person on the planet, according to&nbsp;<em>Forbes’</em>&nbsp;estimates. The Tesla chief is now just less than $1 billion richer than Bezos, who falls to second-richest person in the world.</p>



<p>The two billionaires have spent much of the last week competing for the title of wealthiest person on the planet. Musk took the number one spot from Bezos&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/08/elon-musk-is-now-the-richest-person-in-the-world-officially-surpassing-jeff-bezos/">last Friday</a>&nbsp;and&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2021/01/12/elon-musk-is-back-at-no-1-richest-person-in-the-world-after-tesla-stock-rebounds/?sh=4352d8de6c68">again on Tuesday</a>,&nbsp;<em>Forbes</em>&nbsp;calculates.&nbsp;</p>



<p>Both billionaires are over $30 billion richer than the world’s third-wealthiest person, LVMH chairman Bernard Arnault, who is worth $149.4 billion,&nbsp;<em>Forbes</em>&nbsp;estimates.</p>



<p>Musk’s net worth has grown at an astonishing rate over the last year, rising more than $150 billion since March 2020, when he was&nbsp;<a href="https://www.forbes.com/billionaires/">worth $24.6 billion</a>. Bezos’ fortune has also continued to grow, though not as fast: He’s up from $113 billion in March 2020.</p>


Elon Musk Is The Richest Person In The World—Again


<p class="has-drop-cap"><a href="https://www.forbes.com/profile/mackenzie-scott/?sh=3f994da8243d">MacKenzie Scott</a>&nbsp;— the ex-wife of Jeff Bezos — announced Tuesday that she’s donated more than $4.1 billion over the past four months to nearly 400 organizations helping fulfill basic needs for many Americans struggling in the pandemic.</p>



<p>“This pandemic has been a wrecking ball in the lives of Americans already struggling,” Scott writes. “Economic losses and health outcomes alike have been worse for women, for people of color, and for people living in poverty. Meanwhile, it has substantially increased the wealth of billionaires.”</p>



<p>Scott, who received one-quarter of her ex-husband’s Amazon stock in their divorce settlement in 2019, is the third richest woman in the world, behind L’Oreal heir&nbsp;<a href="https://www.forbes.com/profile/francoise-bettencourt-meyers/?list=rtb/&amp;sh=438656d52b06">Francoise Bettencourt Meyers</a>&nbsp;and Walmart heir&nbsp;<a href="https://www.forbes.com/profile/alice-walton/?list=rtb/&amp;sh=1d36b6614eb2">Alice Walton</a>. Scott is worth an estimated $55.1 billion, according to&nbsp;<em>Forbes’&nbsp;</em>calculations, after taking into account her newest charitable giving.</p>



<p>In a&nbsp;<a href="https://medium.com/@mackenzie_scott/384-ways-to-help-45d0b9ac6ad8" target="_blank" rel="noreferrer noopener">post on Medium</a>, Scott, a novelist, said she and her team had vetted hundreds of organizations in recent months and ultimately donated $4.158 billion to 384 groups, which she named and linked to in her post. Recipients include community colleges and universities like Blackfeet Community College in Montana; food banks and meal providers like Feeding America, America’s Second Harvest and Meals on Wheels; and many individual YMCAs and YWCAs.</p>



<p>Scott also says that her gifts to these organizations are unrestricted, meaning that were not earmarked for certain initiatives. That allows the recipients to use the money however they best see fit.</p>



<p>“Not only are non-profits chronically underfunded, they are also chronically diverted from their work by fundraising, and by burdensome reporting requirements that donors often place on them,” she writes. By freeing nonprofit groups of that burden, she hopes the organizations can focus on their primary work —meeting the needs of those they serve.&nbsp;</p>



<p>That sits particularly well with YMCA of the USA, which received a $20 million donation from Scott. Local YMCAs received additional donations. Many YMCAs have been providing childcare to families of first responders and essential workers during the pandemic. But the YMCA says it’s faced a revenue drop of $1 billion across the organization since the pandemic started. So the gift is much needed.</p>



<p>“We are incredibly grateful to MacKenzie Scott for her generous gifts made to 43 YMCA associations and YMCA of the USA,” said Kevin Washington, president and CEO, YMCA of the USA. “Ms. Scott’s gifts are a testament to the trust Ys have earned by meeting pressing social needs in the communities the Y serves across the country. These unrestricted funds are especially important to the work of Ys to support communities during the COVID-19 pandemic.”</p>



<p>In May 2019, Scott&nbsp;<a href="https://www.forbes.com/sites/daviddawkins/2019/05/28/mackenzie-bezos-will-donate-half-her-fortune-to-giving-pledge/?sh=c23098931d89">signed the Giving Pledge</a>&nbsp;— a promise to give away at least half of her fortune to charitable organizations&nbsp;either during her lifetime or after she dies. In July this year, Scott&nbsp;<a href="https://www.forbes.com/sites/angelauyeung/2020/07/28/mackenzie-bezos-announces-nearly-17-billion-in-charitable-giftsand-shes-changed-her-last-name/?sh=3ab8650b6dfb">announced</a>, also through a&nbsp;<a href="https://medium.com/@mackenzie_scott/116-organizations-driving-change-67354c6d733d" target="_blank" rel="noreferrer noopener">Medium post</a>, that she had donated nearly $1.7 billion to 116 charitable groups. It was her first large round of philanthropic giving. She also used the post to declare that she had changed her last name from Bezos to Scott (which was her middle name). Altogether, Scott’s announced gifts to charitable and nonprofit groups this year total $5.8 billion.&nbsp;</p>



<p>Jeff Bezos, still&nbsp;<a href="https://www.forbes.com/profile/jeff-bezos/?sh=16b6d9061b23">the world’s richest person</a>, has not signed the Giving Pledge, though he has stepped up his charitable giving this year. In April, he announced<a href="https://www.forbes.com/sites/angelauyeung/2020/04/02/jeff-bezos-announces-100-million-gift-to-nonprofit-feeding-america/?sh=ea02bb61818f">&nbsp;a $100 million gif</a>t to Feeding America, which works with food banks across the country. In February, Bezos&nbsp;<a href="https://www.forbes.com/sites/sergeiklebnikov/2020/02/17/jeff-bezos-pledges-to-fight-climate-change-with-10-billion-earth-fund/?sh=1220fb1523bc">pledged $10 billion</a>&nbsp;over an unspecified period of time toward solving climate change. As part of that pledge, in mid November he announced nearly<a href="https://www.forbes.com/sites/angelauyeung/2020/11/16/jeff-bezos-announces-nearly-800million-in-donations-to-climate-change-organizations/?sh=3b945e7d2b7b">&nbsp;$800 million in grants</a>&nbsp;to 16 groups working to fight climate change.</p>



<p><em>Editor’s note, 7:30 pm ET December 15, 2020: This post was updated to clarify that the $20 million donation from Scott went to YMCA of the USA, while local YMCAs received additional donations. The article previously incorrectly implied that the $20 million donation was split among all the YMCAs.</em></p>



<p><em>by Kerry A. Dolan, Forbes Staff</em></p>


Axel Springer award ceremony

Mackenzie (Bezos) Scott Announces She’s Donated $4.1 Billion To 384 Groups In Recent Months


<p><strong>Deep-pocketed investors and veteran entrepreneurs are rushing to bet on Amazon’s third-party sellers. The stampede will change retail forever.</strong></p>



<p class="has-drop-cap"><strong><span class="has-inline-color has-vivid-red-color">B</span>usiness was booming</strong>&nbsp;for Adam St. George when he decided to shop around his four-year-old brand Angry Orange Odor Eliminator. Sold primarily on Amazon, his citrus-scented pet odor remover was racking up more than $2 million in annual revenue.</p>



<p>Within hours of listing the operation on an online brokerage, St. George was inundated with phone calls. Planned time off to visit family in Ohio morphed into a marathon of negotiations with brokers, family offices and individual investors. The winner: consumer-products startup Thrasio, which sent a term sheet within a week of the listing and insisted on a response the next day.</p>



<p>“They weren’t messing around,” says St. George, 52, who sold Angry Orange for $1.4 million in 2018, a sum beyond his wildest dreams that paid for a nearly month-long vacation in Hawaii and a new fishing boat. “You get this big check and it’s like, wow. It’s a trip.”</p>



<p>That check, though, paled in comparison to the return expected by Thrasio, which quickly revamped Angry Orange’s operations and has since increased its annual revenue eightfold, to $16.5 million. Named after Thraso, a brave Amazonian warrior from Greek mythology, Thrasio was founded by two serial entrepreneurs in July 2018 with a single mission: to roll up third-party sellers on Amazon. Over the last two years, it has spent over $100 million snapping up nearly 100 businesses, boosting their revenue to more than $400 million; it now sells 10,000-plus items—massage guns, hiking poles and everything in between—on the nation’s biggest online retail platform.</p>



<p>“We are a white knight in this ecosystem,” says co-CEO Josh Silberstein, 45. His cofounder, Carlos Cashman, 48, explains: “[Amazon] has been the most potent creator of entrepreneurship and entrepreneurs the world has ever seen. . . . Then, when it starts to get too complicated when [these companies] hit a certain scale, we are there.”</p>



<p>Silberstein and Cashman are not alone. Lots of people suddenly believe that Amazon’s small businesses represent a big opportunity. Over the last 24 months, 10 to 15 companies have raised $100 million or more apiece, totaling at least $1.5 billion, to buy up Amazon third-party sellers, according to Jason Guerrettaz, cofounder of brokerage WebsiteClosers.com. Among them are a company started by a former Wayfair executive and one from the founder of Charming Charlie, the accessories retailer that filed for bankruptcy twice.</p>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>&#8220;You have to skate to where the puck is going. It used to be in malls. Now it&#8217;s evolved to Amazon. We believe we are buying fifth avenue digital estate&#8221; </p></blockquote>



<p>These entrepreneurs and their backers—including blue-chip private equity players like Advent International and JPMorgan, big venture firms including Khosla Ventures and monied individuals such as Zillow cofounder Spencer Rascoff, former Tinder CEO Elie Seidman and Los Angeles Dodgers executive Tucker Kain, are betting millions they can score big returns piggybacking on Amazon founder Jeff Bezos’ billions.</p>



<p>“The fervor in this space is absolutely crazy,” Guerrettaz says. He adds that sellers who got perhaps 50 inquiries a year or two ago now attract between 200 and 300 in just the first hour of a listing. “We probably receive 20 to 25 emails a day from different groups reminding us that they are well-funded, a buyer in this space and are looking for deals.”</p>



<p>It’s all part of consumers’ unstoppable migration to online shopping. Amazon is now the world’s third-most-valuable company, with a $1.57 trillion market cap that lags only Apple’s ($2.03 trillion) and Microsoft’s ($1.64 trillion). The Seattle-based giant sold $335 billion worth of products in 2019, according to&nbsp;<a rel="noreferrer noopener" href="https://www.marketplacepulse.com/articles/amazon-gmv-in-2019" target="_blank">Marketplace Pulse</a>, up 21% from the prior year. Amazon accounts for roughly 40% of all e-commerce spending in the United States, according to&nbsp;<a rel="noreferrer noopener" href="https://www.emarketer.com/content/amazon-remains-the-undisputed-no-1" target="_blank">eMarketer</a>.</p>



<hr class="wp-block-separator"/>



<p class="has-drop-cap"><strong>One of the biggest</strong>&nbsp;upsides for this new wave of savvy investors comes from the fact that these Amazon retailers are getting traction despite being run by amateurs. “There are very few [Amazon] brands you look at and say you can’t squeeze some more out of it,” says Chris Fryburger, founder of Cincinnati-based nReach, which helps connect Amazon sellers with lawyers, marketing firms and other experts. “No one is really doing Amazon well.” As an early employee at Fundbox, a fintech that offers lines of credit to small businesses, Rymarz witnessed firsthand the number of successful, fast-growing online entrepreneurs who were just one invoice away from going out of business. “It’s the winner’s curse,” he says. He helped Fundbox speed up its loan process by integrating its software into accounting platforms like Intuit’s QuickBooks, through which many small businesses already managed their books. In 2019, he flew to Seattle to meet with Amazon executives about a similar partnership for its third-party sellers.</p>



<p>“I felt like I had been asleep under a rock. [Amazon’s] marketplace had gotten big almost overnight,” says Rymarz, 36, who joined Fundbox in 2014 after stints at Goldman Sachs and TPG. He started studying the seller base and quickly realized that most individual sellers remained very small, even as Amazon had gotten enormous. Although Amazon provided a lot of tools to sellers, there were still gaps, particularly when it came to using data to evaluate the competitive landscape and decide when to pull various levers, such as increasing ad spending or prices. “It’s easy to get started,” Rymarz says. “It’s very hard to grow.”</p>



<p>Excited by what he was learning, Rymarz left Fundbox in June and by July had&nbsp;<a href="https://www.forbes.com/sites/laurendebter/2020/11/18/heyday-raises-175-million-series-a-to-buy-grow-amazon-businesses/?sh=2ea7ae5744a5">raised $175 million</a>&nbsp;from blue-chip investors General Catalyst, Khosla and Arbor Ventures to start Heyday, which aims to acquire, launch and grow third-party sellers. He has been actively acquiring merchants with revenue between $1 million and $25 million that he believes have the potential to be ten times larger. He is also launching several new Amazon brands of his own, though he won’t divulge any details about them. “You’re going to see brands like Warby Parker now born on Amazon,” he says. “You’re going to see hundreds of Ankers.”</p>



<p>Anker, a Shenzhen, China-based maker of phone chargers and battery packs, is the most successful independent merchant started on Amazon to date and yet another reason why so many investors are rushing in. It racked up just under $1 billion in revenue in 2019 and&nbsp;<a rel="noreferrer noopener" href="https://www.bloomberg.com/news/videos/2020-08-25/phone-charger-maker-anker-doubles-to-8-billion-on-debut-video" target="_blank">went public in China in August</a>. It’s now valued at nearly $11 billion.</p>



<hr class="wp-block-separator"/>



<h2 class="has-text-align-center wp-block-heading"><strong>Merchant Makeovers</strong></h2>



<p><strong>THRASIO BUYS AMAZON THIRD-PARTY SELLERS AND THEN RUNS THEM THROUGH A RIGOROUS, 503-POINT CHECKLIST TO GOOSE SALES AND PROFITS. BELOW ARE A FEW SUCCESS STORIES.</strong></p>



<ul><li><span class="has-inline-color has-vivid-red-color"><strong>ANGRY ORANGE</strong><br></span>Designed slick new packaging for pet odor remover, partnered with pet social media influencers. <strong>Sales increased eightfold to $16.5 million in two years</strong></li><li><span class="has-inline-color has-vivid-red-color"><strong>BEAST GEAR</strong><br></span>Added new keywords for jump ropes, like “boxing,” “weightlifting” and “functional fitness”. <strong>Sales increased by 74% year-to-date</strong></li><li><span class="has-inline-color has-vivid-red-color"><strong>CREATIVE SPACE</strong><br></span>Reduced the edges of a whiteboard&nbsp;by two inches. <strong>Saved $75,000 a year on shipping</strong> </li><li><span class="has-inline-color has-vivid-red-color"><strong>DESKCYCLE </strong><br></span>Secured placement on Amazon&#8217;s new influencer Livestream program for miniature stationary bicycles. <strong>Sales jumped 667% in one day</strong></li></ul>



<p>If Anker is the most successful third-party merchant, then Thrasio can claim bragging rights as the leader among the roll-up artists. In just over two years, it has raised more than $500 million from, among others, Boston-based private equity giant Advent International, Seamless founder Jason Finger and Atlantic Records CEO Craig Kallman, including a&nbsp;<a href="https://www.prnewswire.com/news-releases/thrasio-reaches-1b-valuation-sets-new-us-speed-record-for-unicorns-301093829.html" target="_blank" rel="noreferrer noopener">$260 million round</a>&nbsp;it announced in July at a valuation of $1 billion. It now claims to be one of the 25 biggest sellers on Amazon.</p>



<p>The key, according to Silberstein, is an effective “block and tackle” strategy. Every new business acquired by Thrasio is put on the so-called conveyor belt, where a core team of a half-dozen employees works through a 503-point checklist of best practices in an average of 34 days, farming out tasks to a deep bench of specialists in supply chain, legal and other departments as needed. For instance, the creative team makes sure each listing has at least seven high-resolution images that take up 80% or 90% of the allotted space on the online display page (larger images lead more people to click).</p>



<p>After buying Angry Orange, Thrasio introduced slick new packaging and partnered with pet influencers like Two Himalayan Cats, whose cute social-media posts drove not just clicks but sales, helping boost all-important conversion rates. Thrasio also identified a few dozen new relevant search keywords (such as cat urine odor eliminator and pet candle) and became the number one Amazon result for the majority of them. It’s now launching add-on products such as a spray canister with an attached black light, having noticed that pet owners most frequently purchased their odor removers with a separate black light to help them locate urine on the carpet. All these little moves add up to big revenue gains.</p>



<p>“We can help companies in so many ways that they just don’t have the capability to do as a small company,” says David Mussafer, chairman of Advent International.</p>



<p>For decades, consumer-products giants like Unilever and Procter &amp; Gamble have paid huge fees to secure prime shelf space at grocery stores and spent heavily on TV advertising to drive sales. In the digital world, neither matters much. “If you think about the competitive advantages that Procter &amp; Gamble, Unilever, and Newell enjoyed 15 years ago, and you ask which of these are important today, the answer is none of them,” says Thrasio’s Silberstein.</p>



<blockquote class="wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow"><p>&#8220;The concern is that companies are building upon rented landed, relying on Amazon to let them play in its sandbox.&#8221;</p></blockquote>



<p>Amazon is now the&nbsp;<a href="https://www.emarketer.com/content/looking-for-a-new-product-you-probably-searched-amazon" target="_blank" rel="noreferrer noopener">first stop</a>&nbsp;for the majority of Americans looking to buy basically anything. In the digital world, search-engine optimization strategies to pop products to the top of Amazon results and online reviews play key roles. “The customer is telling us they care more about reviews than brand name,” says Chris Bell, a former Bain Capital and Wayfair executive who started roll-up company Perch last year. “They care more about reviews than [that] they saw an ad on television.”</p>



<p>Some traditional retail executives are clamoring to get in on the action. That includes onetime hotshot Charlie Chanaratsopon, who opened his first women’s fashion accessories store in 2004 at age 26. In less than a decade, he was&nbsp;<a href="https://www.forbes.com/sites/briansolomon/2013/11/27/speed-demon-how-charming-charlie-chanaratsopon-built-a-billion-dollar-fashion-chain-in-under-a-decade/?sh=58fb000f2dc3">worth an estimated half-billion dollars</a>&nbsp;and had opened nearly 300 brightly colored Charming Charlie stores across America, each blaring pop music while shoppers browsed $15 scarves and $9 sunglasses. At its peak in 2014, Chanaratsopon’s chain pulled in $550 million in sales. But he got burned chasing success in suburban shopping malls; he stepped down in 2017, just before the company declared bankruptcy for the first time. It filed for bankruptcy again in 2019, and that July announced it was shutting all its stores.</p>



<p>Now, Chanaratsopon says he’s ready to “ride the rising tide and tailwinds” of Amazon. Boosted Commerce, which he cofounded with tech veteran Keith Richman in January,&nbsp;<a rel="noreferrer noopener" href="https://www.prnewswire.com/news-releases/boosted-commerce-announces-87-million-in-funding-acquisition-of-six-amazon-fulfilment-companies-301133063.html" target="_blank">raised $87 million</a>&nbsp;in September and has already acquired 10 companies that sell a hodgepodge of products from greeting cards to an antifungal body wash that treats jock itch. He and Richman say they chose these businesses in part for their good reviews and high search ranking. “I’m not a big hockey guy, but to quote Wayne Gretzky, you have to skate to where the puck is going,” Chanaratsopon says. “It used to be in malls. Now it’s evolved to Amazon. We believe we are buying Fifth Avenue digital real estate.”</p>



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<p class="has-drop-cap"><strong>As foolproof</strong>&nbsp;as all this sounds, there is plenty of room to fail. Richard Jalichandra, a 58-year-old tech executive, had been running an online supplements company called BodyBuilding.com that was getting destroyed by rivals on Amazon. Sure, competitors like GNC and The Vitamin Shoppe were moving to the platform, but the real threat came from the multitude of mom-and-pop businesses peddling their own supplement brands. “It was like death by a thousand paper cuts,” says Jalichandra, who previously ran a workout-app company called MapMyFitness, which Under Armour purchased for $150 million in 2013.</p>



<p>That’s when he decided to go along rather than fight. He started 101 Commerce in 2017 and raised over $10 million the next year from VC backers including Austin, Texas-based Next Coast Ventures. Its audacious goal: to buy 101 Amazon merchants in two years. His firm analyzed 400 potential acquisitions in just two months and bought 10 of them. Then his investors got cold feet, deciding it was going to take too much time, money and resources to juggle dozens of brands. Jalichandra left in 2019, and 101 Commerce merged with Goja, run by a veteran independent seller from Florida, which had the technology and the manpower in place to oversee and optimize listings. At the time of the merger, JPMorgan, Next Coast and others put another $20 million into the company, which now has 110 employees who manage the new acquisitions.</p>



<p>“I don’t know how these other companies are doing it, because the risk and undertaking are not insignificant,” says Thomas Ball, cofounder and managing director of Next Coast. “You can’t bake a cake in 20 minutes at 900 degrees. It takes an hour at 300 degrees.”</p>



<p>Another problem: rising prices as too much money chases too few good deals. “I hate to say this, but brands that have no business being worth a lot of money are going to be worth a lot of money,” says James Thomson, a former Amazon executive and chief strategy officer at Utah-based Buy Box Experts, which helps brands sell on Amazon.</p>



<p>“My concern about this model is you are building upon rented land,” says Chris Yates, who runs Centurica, a due-diligence service for online acquisitions. “You are relying on Amazon to let you play in their sandbox.”</p>



<p>For now, Amazon claims it’s happy to share its space. “The emergence of these companies reflects how selling with Amazon offers small businesses powerful opportunities to build their brands and reach millions of customers,” says an Amazon spokesperson. Still, some are hedging: Boosted Commerce, for instance, also lists products on eBay, Facebook Marketplace, Walmart.com and a stand-alone website powered by Shopify, as well as Amazon.</p>



<p>Because Amazon still dominates online retail, though, most roll-up players have decided it’s worth the risk. The upside of piggybacking off the Bezos behemoth is just that big. Says Thrasio’s Silberstein: “If we exited at $10 billion, I’d give myself a C-minus, at $25 billion, B-plus. If we exited at $50 billion to $100 billion, A-minus.”</p>



<p>&#8211;<em>By Lauren Debter, Forbes Staff</em></p>


Tag: Jeff Bezos

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