Elon Musk
Tesla shareholders are preparing to vote on Thursday over an extraordinary compensation plan for CEO Elon Musk that could make him the world’s first trillionaire. The vote will take place at Tesla’s annual meeting at its factory in Austin, Texas, and will determine Musk’s future role in the company.
The new proposal, reported by CNN, would grant Musk up to 423.7 million additional Tesla shares over the next ten years. If Tesla reaches an $8.5 trillion market value, these shares could be worth roughly $1 trillion. This target represents a 466% increase from Tesla’s current valuation and is around 70% higher than Nvidia’s recent $5 trillion market cap.
Tesla Chair Robin Denholm defended the plan, saying Musk’s leadership is vital for keeping the company ahead in artificial intelligence, autonomy, and robotics. “Without Elon, Tesla could lose significant value,” she wrote to shareholders on October 27, according to AFP. The package could also increase Musk’s ownership stake from about 12% to over 25%.
Musk has hinted that he might explore other projects if the plan is rejected. During a recent investor call, he said, “It’s not like I’m going to spend the money. It’s just if we build this robot army, I want to have at least a strong influence over that robot army.” His vision for Tesla includes self-driving cars, robotaxis, and humanoid robots, which he believes could make Tesla “the most valuable in the world.”
Supporters argue that Musk is key to achieving this transformation. Dan Ives of Wedbush Securities told CNN, “Shareholders are going to support this overwhelmingly.” However, some major investors and advisory firms oppose the plan. Norway’s sovereign wealth fund, one of Tesla’s largest shareholders, said it would vote against it, citing concerns over “size, dilution, and lack of mitigation of key person risk,” AFP reported. Glass Lewis and ISS also criticised the package, calling its targets “vague and undemanding.”
Shivam Verma is a journalist with over three years of experience in digital newsrooms. He currently works at NewsX, having previously worked for Firstpost and DNA India. A postgraduate diploma holder in Integrated Journalism from the Asian College of Journalism, Chennai, Shivam focuses on international affairs, diplomacy, defence, and politics. Beyond the newsroom, he is passionate about football—both playing and watching—and enjoys travelling to explore new places and cuisines.
Why Old Photos Are No Longer Accepted In US Immigration Applications
The US has tightened immigration rules by banning the use of photos older than three…
A thick toxic smog has once again covered Delhi, pushing AQI beyond 400 and triggering…
Arjun Rampal Engagement: Actor Arjun Rampal has officially confirmed his engagement to longtime partner and…
