Tesla Proposes $1 Trillion Incentive Plan for Elon Musk

Tesla's board has proposed an unprecedented pay package for CEO Elon Musk that could make him the world's first trillionaire if he meets ambitious performance targets over the next decade. The plan, valued at around $1 trillion, would grant Musk up to 423 million shares, increasing his stake from about 13-16% to over 25%, contingent on Tesla's market value soaring from $1 trillion to $8.5 trillion and achieving milestones such as delivering 20 million vehicles, deploying one million Robotaxis, and selling one million AI-powered humanoid robots. This proposal follows a 2018 compensation plan worth $55 billion that was struck down by a Delaware court for being unfair to shareholders, with Tesla currently appealing that decision. While the board emphasizes Musk's leadership as essential for Tesla's transformational growth and aims to retain his focus on the company despite his involvement in other ventures, critics question the scale of the award amid Tesla's recent sales challenges and brand controversies linked to Musk's political activities. The pay package requires shareholder approval and reflects Tesla's goal to become the most valuable company in history, surpassing giants like Nvidia.