Overview
- More than 75% of votes at Tesla’s Austin AGM backed a multi‑tranche equity plan that makes Elon Musk eligible for up to roughly $878 billion to $1 trillion in stock if performance milestones are achieved.
- The award requires reaching an $8.5 trillion market capitalization by 2035 alongside operational goals such as deploying one million robotaxis and producing one million humanoid robots, with additional profitability and subscription metrics.
- If all tranches vest, Musk’s stake could rise from about 13% to roughly 25%, increasing his influence; he must remain in place for years before initial shares can be accessed.
- Major investors and proxy advisers including Norway’s sovereign wealth fund, ISS and Glass Lewis opposed the scale and governance implications, but directors were re‑elected and related governance items passed.
- Tesla shares rose more than 3% after hours following the vote; a separate proposal for a Tesla investment in Musk’s AI venture xAI did not advance due to abstentions.