Tesla shareholders approve Elon Musk's trillion-dollar pay package
Tesla shareholders have overwhelmingly approved a record-breaking pay deal for Elon Musk, paving the way for him to potentially receive around one trillion dollars in Tesla stock if he meets long-term performance goals.
The vote, held during Tesla's annual shareholder meeting, passed with approximately 75% approval, according to preliminary figures. The package is conditional: Musk will receive no base salary, but may unlock the full stock compensation over the next decade if Tesla hits designated milestones.
To qualify, Musk must significantly expand Tesla’s market capitalization from its current level of about 1.5 trillion dollars to more than 8.5 trillion dollars. This would make Tesla by far the most valuable company in the world.
“Tesla shareholders have approved a pay package for Elon Musk that could allow him to earn an unprecedented one trillion dollars’ worth of stock.”
For perspective, the chipmaker Nvidia — currently valued at approximately 4.83 trillion dollars — remains the world's most valuable firm. Its CEO earns about 50 million dollars annually and holds a 3.5% stake in the company.
Elon Musk’s personal fortune is already estimated at roughly 460 billion dollars, placing him atop global wealth rankings, according to the Bloomberg Billionaires Index.
Author’s summary
Tesla investors granted Elon Musk a conditional trillion-dollar stock package, making it one of the largest executive compensation plans ever approved.