Elon Musk Pledges a SpaceX Share to Every Kid in America in Gift Worth Over $10 Billion, but Questions Remain

NEW YORK — Elon Musk, the world's richest person, said Monday that he will give one of his SpaceX shares to every child in the United States next year, a pledge that could be worth more than $10 billion at current market prices.

"Next year, I will give one of my SpaceX shares to every kid in America," Musk wrote on X shortly before 4 a.m. Eastern time. "This will be the first of many."

Musk did not explain how the shares would be distributed, which children would qualify or when exactly the giveaway would take place. He did not respond publicly to users asking whether the offer would apply to all children living in the U.S. or only to citizens.

How much is it worth?

The value of the pledge depends on SpaceX's share price and the number of children who receive a share.

SpaceX shares were trading at about $146 recently. With roughly 70 million children under 18 in the United States, the gift would be worth more than $10 billion. USA Today estimated the pledge at about $10.5 billion, while Axios put it at roughly $11 billion.

That would make it one of the largest individual giveaways in history. Axios noted the gift would be nearly double Michael Dell's record-setting donation to the federal government's new investment accounts for children.

Despite its size, the pledge would make only a small dent in Musk's fortune. Musk owns more than 6.4 billion SpaceX shares, representing a 48.4% beneficial stake in the company, according to an August filing with the Securities and Exchange Commission.

SpaceX goes public

SpaceX, the rocket and satellite company Musk founded in 2002, went public in June in one of the largest initial public offerings in history. The company now includes Musk's artificial intelligence startup xAI and the social media platform X.

The listing pushed SpaceX's market value above $2 trillion and further boosted Musk's personal wealth, making him the world's first trillionaire, according to wealth trackers.

A response to Anthropic

Musk's announcement came hours after AI company Anthropic said it would commit 5% of its shares to a new public benefit fund on an ongoing basis.

Musk responded directly to Anthropic's post on X with a suggestion.

"I recommend giving the shares directly to the public," Musk wrote.

He later announced his SpaceX share pledge, saying he wanted to give stock directly to the public rather than through an intermediary.

Anthropic is a competitor to xAI in the artificial intelligence industry.

AI and 'universal high income'

Musk has repeatedly argued that artificial intelligence and robotics could transform the economy so dramatically that traditional work and money may become less important. He has promoted the idea of "universal high income," in which advanced technology generates abundance for everyone.

Musk has framed the SpaceX share pledge as part of that vision, giving ordinary Americans a direct stake in companies he expects to benefit from AI and space exploration.

In recent exchanges on X, Musk also said he planned to take steps along the lines of giving away much of his wealth, after economist Daron Acemoglu challenged him to donate his fortune if money would no longer matter in the future.

How could it work?

The mechanics of the gift remain unclear.

One possible route is through "Trump Accounts," a federal program created by President Donald Trump's administration that sets up investment accounts for children through the Treasury Department. The accounts can accept stock donations from wealthy donors.

Musk spent about $300 million supporting Trump's 2024 election campaign, though the two have since had a public falling-out at times.

Distributing individual shares to tens of millions of children would raise logistical questions, including how shares would be held, whether parents would need to open accounts, and how taxes would apply to the gifts.

Scrutiny of Musk's giving

Musk's charitable giving has largely been carried out through the Musk Foundation. A recent review by The Economist found that most of the money distributed by the foundation over the years has gone to organizations connected to Musk in some way.

Critics have questioned the foundation's practices in the past, while Musk has said his companies' work in areas such as electric vehicles, space exploration and AI contributes more to humanity than traditional philanthropy.

Reaction

Musk's pledge drew a mix of praise and skepticism online. Supporters hailed it as a bold way to give young Americans a stake in the future of technology and space exploration. Critics questioned whether the promise would be fulfilled, noting that Musk has made ambitious announcements in the past that took longer than expected or did not materialize as described.

What's next

Musk has not said when in 2027 the shares would be distributed or whether additional details would be released.

If carried out, the plan would represent one of the most unusual and far-reaching acts of corporate philanthropy, giving millions of children a direct ownership stake in one of the world's most valuable companies.