Elon Musk's wealth took a hit this week — bad for Tesla and SpaceX investors, and a sign of nerves in the whole AI trade.

• Tesla had its worst slump since 2022, and SpaceX slid ahead of a Starship test flight.
• Musk's net worth fell to $719 billion, but he's still by far the richest person in the world.
• Musk keeps saying people won't need to worry about money in the future because AI and robots will make everything cheap — a claim that lands badly while US tech firms cut 140,000 jobs.
• His robotaxi bet faces trouble: it's a low-margin, price-war business, and partners like Waymo and Uber are already splitting.
• China is catching up in AI and cars, and Musk himself hinted the Chinese could eventually lead — pushing US companies to lobby for rules that block foreign and smaller rivals.

Outlook: Expect more pressure on Tesla and the AI trade as job cuts pile up and Chinese competition grows.