Elon Musk is no longer the world’s richest person, following a sharp drop in the value of his shares in Tesla this year.
According to Forbes and Bloomberg, Mr Musk has been surpassed at the top by Bernard Arnault, CEO of luxury goods conglomerate LVMH.
Mr Musk is Tesla’s CEO and the company’s largest shareholder, with a reported 14% stake.
In October, he completed a $44 billion takeover of the social network Twitter.
According to Forbes, Mr Musk is now worth approximately $178 billion (£152 billion).
Meanwhile, Bernard Arnault is worth $188 billion.
Mr Musk’s Twitter deal was only completed after months of legal wrangling, and some have blamed Tesla’s share price drop on the distraction of the takeover.
After acquiring a stake in Twitter at the start of the year, Mr Musk made his $44 billion offer in April, which many thought was excessive.
He backed out of the deal in July, citing concerns about the number of fake accounts on the platform.
Twitter executives eventually took legal action to compel Mr Musk to honor his offer.
The “circus” surrounding the Twitter deal, according to Dan Ives of investment firm Wedbush Securities, has weighed on Tesla’s share price.
“Musk has gone from a superhero to Tesla’s stock, to a villain in Wall Street’s eyes, as the overhang grows with each tweet,” he told the BBC.
“The Twitter circus show has harmed Musk’s brand and placed a significant burden on Tesla’s stock. Musk is Tesla, and Musk is Tesla.”
Mr Musk sold billions of dollars in Tesla stock to help fund his purchase, which pushed the stock down.
Investors are also concerned that demand for the company’s electric vehicles will slow as the economy weakens, higher borrowing costs deter buyers, and other companies increase their electric vehicle offerings.
Tesla has also been hit by recalls and government investigations into crashes and its autopilot feature.