Tesla Proposes $1 Trillion CEO Pay Package Linked to Market Value Growth

Tesla has proposed a historic $1 trillion compensation package for CEO Elon Musk, contingent on ambitious targets including increasing Tesla's market value from approximately $1 trillion to $8.5 trillion, expanding its robotaxi business to 1 million vehicles, selling 12 million additional electric cars, reaching 10 million autonomous driving subscriptions, and launching 1 million AI-powered robots over the next decade. If Musk meets these benchmarks, he would receive over 423 million shares, boosting his ownership stake in Tesla to at least 25%, thereby increasing his control over the company. This new pay plan follows a previous $50 billion package struck down by a Delaware court, with Tesla currently appealing that decision and offering Musk a $30 billion interim stock award. Tesla's board and chairwoman emphasize that the deal aligns Musk's incentives with shareholder interests and aims to retain his leadership to drive Tesla to become the world's most valuable company. Despite Musk's multiple other ventures, including SpaceX and xAI, he has committed to staying as Tesla CEO for at least five more years to focus on robotics and AI growth. The compensation proposal reflects Tesla's vision of achieving a transformative impact on autonomous goods and sustainable technology at scale.