On thursday approved a staggering pay package for CEO Elon Musk that could reach up to $1 trillion over the coming decade, making him the first person in history to potentially become a trillionaire.
At the company’s annual meeting in Austin, Texas, more than 75 percent of votes cast supported the proposal, a clear signal of investor confidence in Musk’s vision for Tesla’s future.
The package is fully performance based, with Musk only earning the maximum if he hits multiple ambitious targets. These include:
- Increasing Tesla’s market valuation to as much as $8.5 trillion
- Delivering 20 million electric vehicles over a decade
- Deploying 1 million humanoid robots and 1 million robotaxis in commercial service
- Maintaining sustained profitability at unprecedented levels
Supporters argue the deal aligns Musk’s interests even more closely with shareholders, incentivizing him to execute Tesla’s transition from electric vehicles to robotics and artificial intelligence platforms. As one investor put it, this is about “retaining the visionary at the wheel during a pivotal growth phase.”
But critics were equally vocal. Some large institutional investors and proxy advisory firms opposed the package, warning that it grants Musk excessive influence, including a potential increase in his voting power from about 13 percent to nearly 30 percent of Tesla’s equity. They also flagged the extraordinary cost: even if fully earned, $1 trillion would dwarf any previous CEO compensation in history.
In response to criticism, Musk defended the proposal in sharp terms. During a recent earnings call, he dismissed proxy advisers as “corporate terrorists” who threatened his influence and, by extension, Tesla’s long term performance.
For shareholders and market watchers alike, the key question now is not just whether Musk earns the full payout, but whether Tesla can meet the aggressive milestones set in vehicle volume, robotics deployment and valuation under his leadership. A failure to deliver would negate the headline grabbing sum, but a success would define a new benchmark in corporate leadership and compensation.
In short, the vote locks in a bold gamble on Elon Musk and Tesla’s future, and the world will be watching whether this unprecedented bet pays off.
