Elon Musk is on his way to a trillion: Tesla shareholders approve unprecedented payout package
7 November 17:19
Tesla shareholders have approved a record $1 trillion compensation package for CEO Elon Musk.
According to Bloomberg, the decision was approved by more than 75% of the votes cast at the company’s annual meeting, the largest payout ever approved for an executive in global corporate history, "Komersant Ukrainian" reports.
This decision could strengthen Musk’s position as the richest man on the planet and potentially make him the world’s first trillionaire.
What does the new compensation package mean?
The agreement stipulates that Musk will be able to increase his stake in Tesla to 25% or more over the next decade.
However, he will only receive the full amount if he achieves extremely ambitious goals, including
- a significant increase in Tesla’s market capitalization,
- revival of the company’sautomotive business,
- launch of the Cybercab robot taxi,
- scaling up the humanoid robot Optimus.
“This is not just a new chapter for Tesla, it’s a new book. And it envisions the fastest growth in robot and car production in the history of mankind,” Musk said during the shareholders’ meeting.
Why it is important
The vote was a crucial moment for Tesla. Previously, Musk had hinted that he might step aside from operational management or focus on his other companies (SpaceX, X, Neuralink) if he did not gain more control over Tesla.
Now, after the shareholders’ support, his influence in the company will only increase – which, according to analysts, may signal stability for investors, but also increases the risks of excessive personalization of management.
Market reactions
Despite its loud statements, Tesla is currently experiencing a period of slowing sales growth and increased competition in the electric vehicle market. Musk promises to change this by developing artificial intelligence, autonomous cars, and robotics.
He also announced the project of a “Tesla terafactory ” – its own chip manufacturing plant, which should ensure the company’s technological independence. Next year, he said, will be dedicated to expanding production of Optimus, Semi, and Cybercab models.
What’s next
The vote confirmed that despite the risks, investors are betting on Musk as the driving force behind the company. However, now he is expected to deliver not only ambition but also real results that will prove that the record trillion-dollar bonus is in line with Tesla’s performance in the era of artificial intelligence.
