Tesla Shareholders Approve $1 Trillion Pay Package for Elon Musk

Tesla shareholders approved a $1 trillion pay package for CEO Elon Musk, marking the largest executive compensation plan in corporate history. The 10-year agreement, which expires in September 2035, is structured into 12 tranches of restricted shares totaling approximately 424 million.

To secure the compensation, Musk must achieve a series of escalating market capitalization and operational targets. Market cap goals range from $2 trillion to a final target of $8.5 trillion. Operational milestones include the delivery of 20 million vehicles, 1 million robots, and 1 million commercial robotaxis.

Additional requirements include reaching 10 million active Full-Self Driving subscriptions and hitting adjusted EBITDA targets that peak at $400 billion. If all conditions are met, Musk's voting power within the company would increase from 13.6% to 24.9%.