The First World Trillionaires are on the Horizon

By Evans Momodu
4 minute digest

The era of trillionaires is approaching, with five individuals predicted to surpass $1 trillion in wealth within the next decade, according to Oxfam's annual inequality report.

The list includes Tesla and SpaceX CEO Elon Musk, Amazon founder Jeff Bezos, Oracle’s Larry Ellison, Meta’s Mark Zuckerberg, and LVMH’s Bernard Arnault.

Musk, the world’s richest person with a net worth exceeding $430 billion, is projected to reach the milestone in under five years.

This report, coinciding with the World Economic Forum in Davos, highlights the rapid growth of wealth among billionaires.

In 2024 alone, their collective net worth increased by $2.1 trillion, bringing the global billionaire class’s total wealth to $15 trillion. The United States leads the charge, with 816 billionaires gaining $1.4 trillion in wealth last year.

Oxfam’s findings underscore widening disparities, as global poverty levels remain unchanged since 1990. Meanwhile, a growing portion of billionaire wealth stems from inheritance.

In 2023, more billionaires inherited their fortunes than amassed them through entrepreneurship for the first time. Wealth transfers are further enabled by weak inheritance taxes globally, with many countries, including the United States, offering minimal taxation on generational wealth transfers.

Rebecca Riddell of Oxfam America warns that this trend could lead to the largest transfer of untaxed generational wealth in history unless governments act decisively to reform tax systems.

Wealth and Political Influence
The report also highlights the growing influence of billionaires on politics, exemplified by the Trump administration, which includes nearly a dozen billionaires. Elon Musk, a prominent advisor and co-leader of the Department of Government Efficiency, reportedly contributed over $260 million to Donald Trump’s 2024 campaign.

Outgoing President Joe Biden echoed concerns in his farewell address, cautioning against the rise of an oligarchy that threatens democratic institutions and fair economic opportunity.

Key Takeaways

• The first trillionaires, led by Elon Musk, are expected within the next decade.
• Billionaire wealth surged by $2.1 trillion in 2024, outpacing global economic growth.
• Inheritance, not entrepreneurship, is increasingly the source of wealth among billionaires.
• Wealthy individuals are exerting unprecedented influence on politics and policy.
• Oxfam calls for robust reforms to address inequality and tax avoidance.