key takeaways
- Tesla investors approved CEO Musk’s record-high $1 trillion pay package at the company’s annual shareholder meeting on Thursday.
- Tesla said more than 75% of shareholders supported the plan.
- Musk must lead Tesla to meet certain financial targets to receive a salary.
On Thursday, at Tesla annual shareholder meeting In Austin, Texas, Tesla investors voted to approve a record-breaking $1 trillion compensation plan for CEO Elon Musk, the largest executive compensation proposal ever. ever considered and approved in corporate history.
more than this 75% shareholders backed the plan and left room for Musk, 54, to become the world’s first trillionaire if he achieves a number of achievements. Musk will not take a salary; The pay will come in the form of stock grants worth nearly $1 trillion that will give him more than 400 million additional Tesla shares over the next decade. His stake in Tesla will increase to 25% or more, currently above 13%,
Connected: Elon Musk and Tesla’s board chairman deny report that the EV maker is looking for a new CEO: ‘Absolutely false’
“This is not just a new chapter for Tesla, it’s a new book,” Musk told the audience of investors at the meeting. bloomberg,
To receive the 12-part compensation package, Musk must lead Tesla to achieve ambitious product and financial goals cnbcfirst part Is necessary Tesla’s market value rises to $2 trillion $1.4 trillion At the time of writing) and the company will deliver its 20 millionth vehicle, put one million Robotaxis on the road or sell one million humanoid Optimus robots.
Tesla has delivered about 8.5 million vehicles so far, far short of Musk’s goal of 20 million deliveries. In 2025, electric vehicle manufacturer to deliver 1.2 million carsWith recent quarterly data less than 500,000 units,
Meanwhile, Tesla’s robotaxi program is currently limited in scale. Musk said last month that he plan of The goal is to deploy 500 robotaxis in Austin and 1,000 more in California’s Bay Area by the end of the year.
Connected: Tesla robotaxis are now driving themselves in Austin: ‘It was amazing’
As far as selling one million humanoid robots is concerned, Tesla has not yet brought one of its Optimus robots to market. musk said earlier this year Tesla plans to deploy Optimus robots in its manufacturing facilities this year and make the robots more widely available next year.
For Musk to receive the full $1 trillion salary, Tesla would eventually have to reach a market cap of $8.5 trillion. They will receive a stock award for every $500 billion or $1 trillion increase in Tesla’s valuation.
No company has yet reached the $8.5 trillion mark. The closest AI chipmaker so far is Nvidia, which last month became the first company to surpass $5 trillion in market value, but has since seen its market capitalization decline. nvidia was worth $4.58 trillion At the time of writing.
Musk is the richest person in the world net worth of $461 billionAccording to the Bloomberg Billionaires Index.
key takeaways
- Tesla investors approved CEO Musk’s record-high $1 trillion pay package at the company’s annual shareholder meeting on Thursday.
- Tesla said more than 75% of shareholders supported the plan.
- Musk must lead Tesla to meet certain financial targets to receive a salary.
On Thursday, at Tesla annual shareholder meeting In Austin, Texas, Tesla investors voted to approve a record-breaking $1 trillion compensation plan for CEO Elon Musk, the largest executive compensation proposal ever. ever considered and approved in corporate history.
more than this 75% shareholders backed the plan and left room for Musk, 54, to become the world’s first trillionaire if he achieves a number of achievements. Musk will not take a salary; The pay will come in the form of stock grants worth nearly $1 trillion that will give him more than 400 million additional Tesla shares over the next decade. His stake in Tesla will increase to 25% or more, currently above 13%,
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