Tesla Shareholders Back Musk’s $56 Billion Pay Package, Setting Enterprising Targets for Robots, sales, and Valuation
WILMINGTON, DE – Tesla shareholders overwhelmingly approved a $56 billion compensation package for CEO Elon Musk, tying his payout to a series of aggressive growth targets encompassing unprecedented vehicle sales, robot production, and a six-fold increase in the company’s stock market value.The approval, secured with 75% of shareholder votes, paves the way for Musk, currently the world’s richest person, to increase his stake in Tesla from 15% to 25%.
To fully realize the remuneration, Tesla must reach an $8.5 billion market capitalization within 12 years – a significant leap considering current valuations. Nvidia currently leads as the world’s most valuable company at $4.45 billion, while Tesla stands at $1.42 billion. Beyond financial metrics,the plan demands the sale of 20 million vehicles,1 million Optimus robots,and 1 million fully autonomous vehicles within the same timeframe.
If all objectives are met, Musk’s total stake in Tesla could be worth approximately $2.4 trillion,exceeding his current net worth of around $460 billion. Tesla anticipates launching production of three key products in the coming year: the Optimus robot, the long-delayed Semi truck, and the Cybercab, a steering-wheel-less vehicle.
Shareholder enthusiasm wasn’t universal. While a proposal to invest in Musk’s artificial intelligence startup, xAI, received more favorable votes than rejections, a substantial number of shareholders abstained, leaving the board to determine next steps for a potential $5 billion investment.
Musk also revealed his ambition for Tesla shareholders to participate in SpaceX, the space services company, potentially through an initial public offering. SpaceX is currently valued at nearly $400 billion, second only to OpenAI at $500 billion, both co-founded by Musk.
