Tesla Shareholders to Vote on Potential $1 trillion Pay Package for Elon Musk
WILMINGTON, DE – November 6, 2025 – Tesla shareholders are currently weighing a landmark compensation package for CEO Elon Musk, a deal perhaps worth over $1 trillion, as the electric vehicle giant navigates a challenging market and bets heavily on its future in autonomous technology and robotics. The vote,held at tesla’s annual shareholder meeting on Thursday,comes at a critical juncture for the company,which has recently lost its position as the world’s leading EV maker to Chinese competitor BYD.
Tesla’s recent struggles stem from factors including a lack of fresh models and lukewarm reception to the high-priced Cybertruck, released last year. Further complicating matters, Musk’s increased involvement in politics – including important financial support for President Donald Trump’s 2024 campaign and a temporary role leading the Department of Government Efficiency – has reportedly damaged the company’s reputation with some consumers.
Despite anticipated support from many, the proposed pay package is facing opposition from major shareholders. Norway’s $2 trillion sovereign wealth fund, Norges Bank Investment Management, announced its intention to vote against the deal, citing concerns over its sheer size, potential dilution of stock value, and the risk associated with the company’s heavy reliance on a single individual.
“While we appreciate the significant value created under Mr. Musk’s visionary role, we are concerned about the total size of the award, dilution, and lack of mitigation of key person risk – consistent with our views on executive compensation,” NBIM stated, according to CNBC. “We will continue to seek constructive dialog with Tesla on this and other topics.”
The proposed plan woudl grant Musk over 400 million additional shares of Tesla stock over the next decade. Achieving the full $1 trillion payout hinges on Tesla reaching an $8.5 trillion market capitalization – a more than 400% increase from its current $1.39 trillion valuation (as of midday Thursday).
Industry experts believe Tesla’s long-term success is inextricably linked to breakthroughs in self-driving technology, the development of “robotaxis,” and the advancement of humanoid robots. Musk and some analysts remain confident in the company’s ability to meet these aspiring goals, envisioning a future where Tesla’s revenue streams extend beyond vehicle sales to include autonomous transportation services and robotics.
The outcome of the shareholder vote will not only determine Musk’s compensation but could also signal the direction of tesla’s future and its pursuit of becoming a dominant force in the rapidly evolving landscape of autonomous vehicles and artificial intelligence.
