Tesla Board Proposes $1 Trillion Pay Package for Musk

Tesla's board has proposed a record-breaking $1 trillion, 10-year compensation package for CEO Elon Musk, designed to incentivize groundbreaking achievements in AI, robotics, and autonomous vehicles. Board Chair Robyn Denholm emphasized that the package focuses less on monetary value and more on the voting power Musk would gain, aiming to motivate him through extraordinary future challenges rather than past performance. The plan requires Tesla to significantly increase profits and vehicle sales by 2035, despite recent declines and growing competition from Chinese automakers. The proposal has sparked strong criticism from figures like Senator Bernie Sanders and New Mexico State Treasurer Laura Montoya, who called the package immoral and unconscionable amid widespread economic hardship. Conversely, some analysts, including Morgan Stanley's Adam Jonas, view it as a reasonable deal relative to Tesla's potential market opportunities. Tesla shareholders are set to vote on the compensation plan at the upcoming November annual meeting.