Dell's Net Worth Drops 10% to $107.1 Billion as Shares Fall 18%

Michael Dell, the founder of Dell Technologies Inc., experienced a significant drop in his net worth on Friday. His wealth decreased by $11.7 billion, bringing his total net worth down to $107.1 billion. This decline was triggered by a record selloff of Dell Technologies Inc. shares, which fell by 18% in New York. The company's first quarterly revenue increase in two years failed to meet investor expectations, particularly those focused on the AI server business.

Dell's fortune is heavily tied to the Texas-based computer maker, which he established 40 years ago while studying at the University of Texas. A substantial portion of his net worth also comes from his stake in Broadcom Inc., whose shares also experienced a decline on Friday. Dell, who is 59 years old, serves as the chairman and chief executive officer of Dell Technologies Inc. and is ranked 13th on the Bloomberg Billionaires Index. In early March, his fortune surpassed $100 billion due to the surging demand for equipment that supports artificial intelligence computing, which drove Dell shares to a record high. The stock has tripled in value over the past 12 months.

Other tech billionaires have also seen their wealth surge amid the rally in AI-related stocks. For instance, Nvidia Corp. co-founder Jensen Huang's net worth briefly exceeded $100 billion earlier this week following another strong quarter from the chipmaker. He is currently ranked 16th on the Bloomberg wealth list with a net worth of $96.3 billion. The increasing demand for high-powered servers to train and run demanding generative AI tasks has benefited companies like Dell and a few others in the industry.