Elon Musk in line for trillion-dollar pay package if Tesla hits 10-year goals
Tesla chief Elon Musk could be in line for a payout of one trillion dollars (€850 billion) if his electric car company meets a series of aggressive targets over the next 10 years, according to documents released by the company.
Tesla, which is leaning heavily into robotics and AI, said in a regulatory filing on Friday that the package has a dozen share tranches that include awards for Mr Musk if targets, ranging from car production to the total value of the company, are met over that time period.
Very early in the plan, Tesla would have to reach a market valuation of two trillion dollars (€1.7 trillion) and achieve 20 million vehicle deliveries. Tesla delivered fewer than two million vehicles in 2024.
That milestone would also require a million robotaxis in commercial operation and the delivery of one million artificial intelligence bots.
Mr Musk needs to remain with Tesla for at least seven and a half years to cash out on any stock, and 10 years to earn the full amount.
He would also receive more voting power over Tesla under the proposed plan.
The EV company is set to hold its annual shareholders meeting on November 6.
Tesla’s last shareholders meeting was on June 13 last year, where investors voted to restore Mr Musk’s record 44.9 billion-dollar (€38.25 billion) pay package that was thrown out by a Delaware judge earlier that year.
A condition of the 11th and 12th tranches of the plan includes Mr Musk coming up with a framework for someone to succeed him as chief executive.
Tesla’s stock rose nearly 2% in premarket trading.
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