Tesla Shareholders Approve $1 Trillion Compensation Plan for Elon Musk
Tesla shareholders have approved one of the largest executive compensation packages in corporate history — nearly $1 trillion for CEO Elon Musk. The payout will be distributed in 12 tranches over the next decade, each linked to specific market-capitalization and profit targets.
Historic package tied to performance
The plan requires Tesla to achieve a series of financial and operational milestones between now and 2035. The first tranche will be unlocked when the company reaches a $2 trillion valuation — about $500 billion above its current level. To receive the entire package, Tesla’s market capitalization must climb to $8.5 trillion.
Profit and production targets
Alongside market value benchmarks, the agreement sets progressive profit goals ranging from $50 billion to $400 billion in annual earnings. Tesla has also outlined performance objectives for vehicle deliveries, autonomous robotaxis, FSD subscriptions, and the production of humanoid robots. Each goal acts as a trigger for additional stock grants as long as Musk remains CEO.
Investor confidence and controversy
The vote demonstrates continuing shareholder confidence in Musk’s vision to transform Tesla into a multi-sector technology company spanning AI, energy storage, and mobility services. However, critics argue that such a massive package could widen the gap between executive compensation and average worker wages, raising questions about corporate governance and accountability.
Tesla’s next decade
If Tesla achieves its targets, the company would rank among the most valuable in the world by 2035, on par with the combined market caps of Apple and Microsoft today. The plan underscores how much of Tesla’s future rests on Musk’s ability to deliver on AI-driven mobility, robot manufacturing, and energy innovation in the decade ahead.
Editorial Team — CoinBotLab