Elon Musk Secures Near‑$1 Trillion Compensation Plan After Tesla Shareholder Vote

Tesla’s shareholders have given the green light to a monumental compensation package for CEO Elon Musk that could be worth almost $1 trillion in stock, provided he hits a series of demanding performance targets. The plan, which was put to a vote at the company’s recent annual meeting, ties Musk’s future earnings to the company’s market valuation and operational milestones, including massive growth in revenue, earnings and a dramatic rise in Tesla’s share price.Under the agreement, Musk will receive 25.8 million stock options that will vest only if Tesla achieves ten sequential market‑capitalization thresholds, starting at $100 billion and climbing to $650 billion. In addition, the package requires the company to meet specific operational benchmarks such as reaching $50 billion in annual revenue and delivering a set amount of vehicle production and profitability metrics.If every target is met, the options could translate into roughly $900 billion to $1 trillion in equity for Musk, making it one of the largest remuneration deals ever approved for a corporate executive. The vote saw a strong majority in favor, with more than 90 % of shareholders supporting the proposal despite concerns raised by some investors about the size of the payout and the pressure it could place on the company’s long‑term strategy.Musk, who has been at the helm of Tesla since 2008, has previously warned that the compensation plan would only be awarded if he can dramatically expand the company’s valuation and deliver sustained growth. The approval signals that the board and investors remain confident in his vision for Tesla’s future, which includes expanding its electric‑vehicle lineup, scaling battery production, and advancing autonomous‑driving technology.Critics, however, argue that tying such an enormous sum to stock performance could incentivize short‑term moves to boost the share price, potentially at the expense of broader stakeholder interests. Supporters counter that the stringent, multi‑year milestones are designed to ensure that any payout is earned only after the company achieves genuine, long‑lasting success.The new compensation framework will take effect immediately, with the first tranche of options slated to become exercisable once Tesla’s market cap surpasses the $100 billion mark—a threshold the company already exceeded earlier this year. As Tesla continues to push the boundaries of electric mobility and energy storage, all eyes will be on whether Musk can meet the lofty expectations embedded in this historic pay package.