Tesla Shareholders Approve Conditional Near-$1 Trillion Pay Plan for Elon Musk

Overview

• More than 75% of votes cast backed the plan at Tesla’s Austin annual meeting, creating a decade-long award that vests only if defined milestones are achieved.
• If fully earned, the package would grant roughly 423.7–425 million additional shares in 12 tranches, potentially lifting Musk’s voting power to about 25%.
• Targets include raising Tesla’s market value to about $8.5 trillion from roughly $1.4–1.5 trillion and meeting goals such as 20 million vehicles, 1 million robotaxis, about 1 million humanoid robots, and up to $400 billion in operating profit.
• Several large institutions and proxy advisers, including CalPERS, New York pension systems and Norway’s sovereign wealth fund, opposed the proposal, and company materials indicated Musk had considered leaving if it failed.
• A previous Musk pay award was voided by a Delaware judge and is on appeal to the state supreme court, and Tesla shares showed modest after-hours volatility following the vote.