Tesla shareholders have overwhelmingly voted in favor of CEO Elon Musk’s massive compensation plan — a package that could ultimately be worth as much as $1 trillion in company shares.
More than 75% of participating shareholders backed the proposal, echoing the strong support Musk has received for previous pay deals. The announcement, made at Tesla’s factory in Austin, Texas, was met with cheers and chants of “Elon! Elon!” from excited investors.
Standing alongside a group of dancing Optimus robots, Musk told the crowd that Tesla was entering a transformative era:
“What we’re about to embark upon is not merely a new chapter of the future of Tesla, but a whole new book.”
Despite the headline-grabbing valuation, Musk will not receive the $1 trillion instantly, nor will he draw a traditional salary. Instead, his potential earnings depend on Tesla hitting a series of ambitious performance milestones tied to profitability and market growth. If achieved, these goals could grant him hundreds of billions of dollars in stock — and even greater influence over the company’s future direction.
The compensation plan is divided into 12 tranches, each tied to specific operational, profit, and market capitalization targets. For example, Tesla — currently valued at around $1.5 trillion — would need to reach a staggering $8.5 trillion market cap over the next decade for Musk to unlock the full package.
The approval came after a two-month campaign blitz by Tesla, its board, and senior executives, urging shareholders to support the plan. Chairwoman Robyn Denholm, who typically avoids media appearances, gave several high-profile interviews and even strained her voice ahead of Thursday’s meeting. Tesla also rolled out television ads promoting the vote — a rare move for a company that usually shuns traditional advertising, even for its vehicles.
“Tesla is at an inflection point — I think I’ve said that 3,000 times over the last few weeks — and this last year has been a critical one in our history,” Denholm said Thursday.
