Sitting on roughly $3.5 million in SpaceX shares, Chip, a former data scientist at Elon Musk's aerospace behemoth, has recently bought meteorites worth $10,000 and a $5,000 fire truck.

The 50-year-old space enthusiast is not sure how he will use the truck - maybe as an attraction for his 3-year-old kid's birthday party. But his new wealth tied to SpaceX's initial public offering in June has given him the freedom to buy "silly" things, he told Reuters.

Chip, who asked to use only his first name to discuss personal finances, has been eyeing the TAG Heuer Carrera Calibre 1887 SpaceX Chronograph watch in the $8,000 range, inspired by NASA astronaut John Glenn's 1962 mission in Earth's orbit.

Despite the excitement, the jury is still out on whether an estimated 440,000 US millionaires minted by stock market gains last year and, more recently, AI companies' public listings, will translate into a new golden era for the global luxury goods sector.

"This industry is competing more and more with other industries and with other buckets of possible expenditures and purchases," said Federica Levato, a partner at the consultancy Bain & Company.

Struggling fashion brands are looking to the tech millionaire boom for a lifeline as they face persistent weakness in China and consumer unease globally.

The personal luxury goods market, valued at €358 billion ($406 billion) in 2025, has contracted over ​the past two years, Bain said in a study last month.

Yet, North America was among the fastest-growing regions for luxury groups LVMH, Richemont, Hermès and for Kering's Gucci in the quarter to March 31.

Richemont CEO Nicolas Bos told analysts in May that a "high level of consumer confidence in America" translated into strong sales.

Tech millionaires rewrite the rules of luxury spending

As they try to sell to new tech millionaires, brands have to reckon with their unique taste and competing interests that deflect attention from traditional luxury items.

"I played volleyball in high school and college," said AI strategist Zack Kass, who led ChatGPT creator OpenAI's go-to-market unit until 2023 and owns an undisclosed stake in SpaceX. "I literally took my OpenAI winnings and bought a professional sports team," he said, referring to a volleyball team.

As part of a broader focus on experiences and wellness, tech employees are interested in smartwatches that track daily steps and calories, said Harrison Colcord, the founder of Harrison Lifestyle Concierge.

Former SpaceX engineer Robert, whose shares are worth roughly $4 million and who also asked to use only his first name, said he and his wife recently bought new Apple Watches as they double down on fitness, while planning to reinvest most of their new wealth after embarking on a cruise around Alaska.

But the opportunity remains for traditional multi-thousand-dollar watches from top brands including Rolex and Richemont's Cartier, also thanks to their investment appeal as their resale price is often higher than retail prices.

"You're not wearing your smartwatch with your tux or your suit," Colcord said.

The US was the main destination market for Swiss watches in 2025, accounting for 17% of global exports despite significant disruptions from import tariffs, the Federation of the Swiss Watch Industry said in January.

Rolex declined to comment. Richemont did not respond to a request for comment.

Apparel brands, however, will have to compete with other industries beyond traditional luxury for their share of the spending.

The newly wealthy spend about one-third less on smart outfits and leather goods compared to those with generational wealth, said Filippo Bianchi, who leads the global luxury team at Boston Consulting Group.

Instead, their top spending priority is durable assets like real estate, yachts and cars, he said.

Still, brands like Chanel and Hermes carry logos that affluent clients are often willing to wear, said Mary Gonsalves Kinney, a stylist based in California who works with tech executives.

Chip, the former SpaceX employee, said he does not plan to buy luxury apparel, barring a potential upgrade to his outdoor clothing collection. The last jacket he bought was from the thrift store Goodwill.

"I've been in T-shirts and shorts for years," he said. "That's what I'm comfortable in - I don't see that changing."