Former Microsoft CEO Steve Ballmer is now richer than Bill Gates

Former Microsoft CEO Steve Ballmer, known for his enthusiastic energy and salesmanship, is now richer than Microsoft co-founder Bill Gates. This is the first time Ballmer has surpassed Bill Gates in wealth.

According to the Bloomberg Billionaires Index, Steve Ballmer is now the sixth-richest person in the world with a $157.2 billion net worth. Steve Ballmer surpassed Bill Gates for two reasons:

1. Ninety percent of Steve Ballmer's wealth is in Microsoft stock. Ballmer remains the single largest individual shareholder of Microsoft stock. Microsoft's stock continues its strong growth momentum and is up 21% this year alone.
2. Bill Gates diversified his portfolio through Cascade Investment. Therefore, his other investments did not yield the returns that Microsoft stock would have provided.

It is important to note that the Bloomberg Billionaires Index only considers an individual's current personal wealth. For almost two decades, Bill Gates has been involved in philanthropy through the Gates Foundation. The Gates Foundation is one of the largest charitable organizations in the world, with over $75 billion in funding. Bill Gates has donated over $60 billion to the Gates Foundation over the past two decades.

Until now, Steve Ballmer has not committed to large-scale philanthropy like Bill Gates. However, he has made several donations to major universities in the US including the $425 million fund to the University of Oregon. Additionally, he launched USAFacts.org, a not-for-profit organization with a goal to help people understand U.S. government revenue, spending, and societal impact. Ballmer and his wife co-founded the Ballmer Group, which funds organizations and leaders to reshape opportunity and expand economic mobility across the United States.

The Ballmer Group is focused on improving economic mobility for children and families in the US. It does this by funding individuals and organizations that have show they have the ability to offer opportunities and reduce systemic inequities.

Source: Bloomberg