Snopes article on the “emerald money” story. TLDR, “A story about Musk’s father once owning an emerald mine evolved into a larger rumor that had no evidence to support its central claim.”
Musk’s first company was Zip2, which he co-founded with two other people and $28,000 of seed capital from his father. He eventually sold his share to Compaq for $22 million, and used that money to co-founded X.com, an online bank. X.com eventually did a merger with Paypal, giving Musk %11 of the shares of the merged company, which when Paypal was bought by eBay gave him $175.8 million. Next up was SpaceX, which he founded with that money. It wasn’t until a few years later that he bought into an existing company, Tesla, using a $6.5 million investment to buy a majority share. Tesla was quite small then as car companies go and didn’t build its first car until after Musk’s acquisition.
Seems to me like a consistent pattern of building up companies from small to large and then cashing out to start the next one going.
I am in no way saying that Elon Musk is a good person or that he’s doing well with Twitter (though we don’t know the company’s internal cash flows so it could actually be that it’s becoming more profitable - we’ll see in the long run). I’m just saying that this Reddit hivemind stuff is getting tedious and silly. He was not a “rich fuck” when he started out, I have more money right now than Musk did back then. He is not a moron. He’s an asshole, an egotist, and not good at many things. But he’s definitely good at some things and has done quite well by it.
Snopes article on the “emerald money” story. TLDR, “A story about Musk’s father once owning an emerald mine evolved into a larger rumor that had no evidence to support its central claim.”
Musk’s first company was Zip2, which he co-founded with two other people and $28,000 of seed capital from his father. He eventually sold his share to Compaq for $22 million, and used that money to co-founded X.com, an online bank. X.com eventually did a merger with Paypal, giving Musk %11 of the shares of the merged company, which when Paypal was bought by eBay gave him $175.8 million. Next up was SpaceX, which he founded with that money. It wasn’t until a few years later that he bought into an existing company, Tesla, using a $6.5 million investment to buy a majority share. Tesla was quite small then as car companies go and didn’t build its first car until after Musk’s acquisition.
Seems to me like a consistent pattern of building up companies from small to large and then cashing out to start the next one going.
I am in no way saying that Elon Musk is a good person or that he’s doing well with Twitter (though we don’t know the company’s internal cash flows so it could actually be that it’s becoming more profitable - we’ll see in the long run). I’m just saying that this Reddit hivemind stuff is getting tedious and silly. He was not a “rich fuck” when he started out, I have more money right now than Musk did back then. He is not a moron. He’s an asshole, an egotist, and not good at many things. But he’s definitely good at some things and has done quite well by it.