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Summary Lightning strikes kill hundreds of millions of trees annually, but their role in shaping tree life history and diversity is largely unknown.Here, we use data from a unique lightning location system to show that some individual trees counterintuitively benefit from being struck by lightning.Lightning killed 56% of 93 directly struck trees and caused an average of 41% crown dieback among the survivors. However, among these struck trees, 10 direct strikes caused negligible damage toDipteryx oleiferatrees while killing 78% of their lianas and 2.1 Mg of competitor tree biomass. Nine trees of other long‐lived taxa survived lightning with similar benefits. On average, aD. oleiferatree > 60 cm in diameter is struck by lightning at least five times during its lifetime, conferring these benefits repeatedly. We estimate that the ability to survive lightning increases lifetime fecundity 14‐fold, largely because of reduced competition from lianas and neighboring trees. Moreover, the unusual heights and wide crowns ofD. oleiferaincrease the probability of a direct strike by 49–68% relative to trees of the same diameter with average allometries.These patterns suggest that lightning plays an underappreciated role in tree competition, life history strategies, and species coexistence.