Tesla Shareholders Approve Elon Musk's Massive Pay Package
Tesla shareholders have approved a compensation plan for Elon Musk that could grant him stock valued at an unprecedented one trillion dollars if he meets specific performance goals.
Shareholders Vote and Approval
At Tesla's annual shareholder meeting, 75% of voters favored the pay package, which would give Musk no salary but allow him to unlock Tesla shares worth about one trillion dollars within the next ten years.
Performance Targets
Key targets include increasing Tesla's market capitalization from approximately $1.5 trillion today to over $8.5 trillion.
Industry and Wealth Context
- The world's most valuable company, Nvidia, is currently worth $4.83 trillion, with its CEO earning $50 million annually and owning 3.5% of the company.
- Elon Musk’s net worth is estimated at around $460 billion according to the Bloomberg Billionaires Index.
Tesla shareholders have overwhelmingly approved a pay package of extraordinary proportions for Elon Musk, passing the measure with 75% of the vote.
That package is conditional: Musk would earn no salary, but would unlock Tesla stock worth about a trillion dollars if the company meets certain criteria within the next decade.
Elon Musk was pictured arriving at the Tenth Breakthrough Prize Ceremony at the Academy Museum of Motion Pictures in Los Angeles on April 13, 2024.
Author's summary: Tesla shareholders have approved a historic pay plan that could earn Elon Musk up to one trillion dollars in stock, dependent on ambitious company growth targets over the next decade.