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Tesla shareholders convened this Thursday to vote on a substantial remuneration plan for the company's leader worth approximately nearly $1 trillion. Should it pass, this package would demonstrate investor confidence that the billionaire can guide the car company into an era dominated by AI technology and robotics. If rejected, Tesla could potentially face the loss of a visionary leader who previously established the company name interchangeable with electric vehicles.

Record-Breaking Targets and Market Capitalization

Upon reaching the lofty milestones outlined in the remuneration deal introduced at Tesla's annual meeting, he could be crowned the pioneering trillionaire. For this to happen, he must guide Tesla to a monumental $8.5 trillion in market value, which is 800% of its existing market cap. Additionally, he will be tasked to launch countless autonomous vehicles and bipedal machines, while upholding the financial performance in the hundreds of billions of dollars over the next decade.

Payment Breakdown

The main goals of the compensation plan, divided into twelve stages, outline a path for Tesla to attain its enormous worth. If successful, Musk would be able to benefit from an extra 12% of the company's stock. To be eligible, he must remain vested with the corporation for a minimum of 7.5 years. Additionally, he must contribute to forming a corporate transition roadmap for the business he has led for in excess of 20 years. The stock options provided by the new compensation plan, alongside shares promised in his previous compensation plan, would grant Musk with a quarter stake of Tesla's stock. By the start of November, Tesla stock was trading close to its 52-week high, at around $450 each share.

Lofty Goals

During a decade, Musk will be tasked to deliver 20 million zero-emission cars to customers, distribute 10 million operational autonomous driving plans, produce and launch 1 million bipedal machines, and launch 1 million autonomous taxis in revenue-generating use.

Musk will additionally be obligated to increase the company to $400 billion in real profits for four consecutive quarters. Tesla's actual earnings for the Q3 2025 were $4.2 billion, down 9% from the year before.

In November, Musk's net worth was valued at $460 billion, the highest in the world, according to wealth indexes.

Restoring a Revoked Package

Stockholders are also considering a proposal that would remunerate Musk after his 2018 compensation plan was voided by a legal authority in Delaware. The pay plan, valued at around $56 billion, was contested by a individual investor who won his case. The state court dismissed Musk's compensation plan on multiple instances. Should investors pass the arrangement in the Thursday ballot, Musk is likely to be granted the substantial payout regardless of if Tesla and Musk win an appeal of the lawsuit.

Following Musk's 2018 pay package was first rescinded, he transferred Tesla's business registration to Texas from Delaware. He did the same with SpaceX and other companies' headquarters. In the previous year, under Texas law, shareholders once again passed the pay package.

But Delaware's so-called "court of equity" for a second time denied one of the most substantial CEO pay deals in contemporary business. Following that negative decision, Musk posted on his accounts to show frustration with the state and its "influential presiding justice", arguably sparking a series of corporate exits that Delaware lawmakers have sought to curb with regulatory measures.

In evaluating whether Musk had excessive control in being awarded that previous compensation plan, a prominent academic expert remarked that the judicial authority recognized that other "celebrity leaders" like Facebook's founder and the e-commerce pioneer were not awarded this sort of goal-oriented agreements.