Tesla Shareholders Approve Elon Musk's Trillion-Dollar Pay Package
Tesla shareholders have overwhelmingly approved a pay package for Elon Musk that could grant him an extraordinary amount of stock worth up to one trillion dollars, contingent on achieving specific company goals.
Details of the Pay Package
The approval came with 75% of shareholder votes during Tesla's annual meeting. The package includes no salary for Musk but would unlock Tesla stock valued at approximately one trillion dollars if the company meets ambitious targets within the next ten years.
Key Targets Musk Must Meet
- Increase Tesla's market capitalization from around $1.5 trillion to over $8.5 trillion.
- Meet other performance metrics set by the company (not specified here).
Tesla shareholders have overwhelmingly approved a pay package of extraordinary proportions for Elon Musk, passing the measure with 75% of the vote, according to preliminary results announced at Tesla's annual shareholder meeting.
Comparison and Context
For comparison, Nvidia, the world's most valuable company boosted by the AI boom, is currently valued at $4.83 trillion. Nvidia's CEO, considered crucial to the company's success, earns $50 million per year and owns 3.5% of the company.
Elon Musk, meanwhile, already holds immense wealth, with an estimated net worth of around $460 billion according to the Bloomberg Billionaires Index.
That package is conditional: Musk would earn no salary, but would unlock Tesla stock worth about a trillion dollars if the company meets certain criteria within the next decade.
Event Mentioned
Elon Musk was present at the Tenth Breakthrough Prize Ceremony held at the Academy Museum of Motion Pictures in Los Angeles, California, on April 13, 2024.
Photo Credit
Image by Etienne Laurent/AFP via Getty Images.
Summary: Tesla shareholders have approved an unprecedented pay deal that could award Elon Musk up to a trillion dollars in stock if Tesla’s market value and other targets dramatically increase over the next ten years.