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Shareholders deliver a resounding vote of confidence in Elon Musk with approval of a record-breaking $1 trillion pay deal — a high-stakes bet that could make him the world’s first trillionaire and redefine Tesla’s future.
Despite global criticism and mounting scrutiny, more than 75% of Tesla shareholders backed Musk’s unprecedented $1 trillion compensation plan — a bold vote of confidence that could reshape the future of both Tesla and its visionary leader.
In a landmark decision that cements his position as one of the most influential figures in modern business, Tesla shareholders have approved an extraordinary $1 trillion pay package for CEO Elon Musk, setting the stage for him to potentially become the world’s first trillionaire.
The vote, held during Tesla’s annual shareholder meeting on Thursday, saw over 75% of investors in favor of the proposal — a decisive show of confidence in Musk’s leadership despite recent turbulence for the electric vehicle maker’s stock. The package, the largest compensation plan in corporate history, comes after months of debate and controversy.
The 54-year-old Tesla boss, already the world’s richest person with an estimated net worth of $490.1 billion, will not receive the payout immediately. Instead, the package ties his compensation to a series of ambitious performance milestones that will span the next decade — including boosting Tesla’s market capitalization to $8.5 trillion, delivering 12 million vehicles annually, and deploying 1 million humanoid robots and robotaxis.
Stock awards will be granted in 12 tranches, beginning once Tesla reaches a $2 trillion valuation and delivers 20 million vehicles. Another tranche will unlock when the company achieves a $3 trillion market cap and launches 1 million of its “Optimus” humanoid robots.
Even hitting the first two targets would yield Musk a staggering $26 billion — more than the lifetime earnings of tech moguls Mark Zuckerberg, Tim Cook, and Jensen Huang combined, according to Reuters.
The vote’s approval was not without controversy. Critics, including Norway’s sovereign wealth fund and major proxy advisory firms ISS and Glass Lewis, urged shareholders to reject the deal, labeling it “excessive” and warning of corporate governance risks.
Pope Leo XIV joined the chorus of dissent, calling the package a challenge to “the value of human life, of the family, of the value of society.”
Still, supporters hailed Musk as the driving force behind Tesla’s meteoric rise. Billionaire investor Ron Baron, a longtime shareholder, defended the deal on X, writing, “Elon is the ultimate ‘key man.’ Without his relentless drive and uncompromising standards, there would be no Tesla.”
Tesla’s board reinforced that message in a statement to investors, writing: “If you believe, like us, that Elon is the CEO who can make our ambitious vision a reality — vote NOW. The future of Tesla is in your hands.”
The compensation plan does not restrict Musk’s political involvement — a concern for some investors who have criticized his alignment with President Donald Trump’s Department of Government Efficiency.
Yet Tesla’s directors argue that Musk’s leadership remains indispensable, especially as the company develops humanoid robots and expands its autonomous driving programs.
“If we build this robot army, do I have at least a strong influence over that robot army?” Musk quipped during an earnings call. “I don’t feel comfortable building that robot army if I don’t have at least a strong influence.”
The board crafted the new pay structure after a Delaware judge struck down Musk’s previous $56 billion pay plan, citing conflicts of interest. The ruling prompted Musk to move Tesla’s incorporation from Delaware to Texas, where Thursday’s shareholder meeting was held.
Despite a volatile year marked by declining sales and growing competition from Chinese EV makers such as BYD, Tesla shares are up nearly 20% in 2025. Musk acknowledged “a few rough quarters” ahead but expressed confidence that “autonomy at scale” will transform the company’s trajectory by late next year.
On stage in Austin, Musk celebrated the outcome with a mix of gratitude and bravado: “What we’re about to embark upon is not merely a new chapter for Tesla — but a whole new book.”
If Tesla achieves every performance milestone, its market value could soar to $8.5 trillion, with Musk controlling roughly a quarter of the company’s shares — and his name etched in history as the world’s first trillionaire.
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