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Investors in the electric car maker convened on Thursday to vote on a massive remuneration plan for the company's leader valued at close to $1 trillion. Should it pass, this package would demonstrate shareholder trust that the billionaire can guide the automaker into an age shaped by artificial intelligence and robotics. Should it fail, Tesla could potentially face the departure of a key figure who once made the corporation equivalent with electric vehicles.

Record-Breaking Targets and Company Valuation

Upon reaching the lofty milestones specified in the remuneration deal presented at Tesla's corporate assembly, he could be crowned the world's first person with a trillion-dollar net worth. To reach this goal, he must steer Tesla to a monumental $8.5 trillion in company worth, which is eight times its existing market cap. Additionally, he will be obligated to launch millions driverless automobiles and bipedal machines, while upholding the corporate profits in the hundreds of billions of dollars throughout the coming ten years.

Payment Breakdown

The primary objectives of the remuneration structure, divided into 12 tranches, delineate a roadmap for Tesla to achieve its colossal valuation. If successful, Musk would be eligible to realize gains on an further 12% of the company's stock. To qualify, he must stay committed with the company for at least 7.5 years. Additionally, he must assist in creating a corporate transition roadmap for the organization he has led for in excess of 20 years. The equity incentives awarded by the latest pay package, combined with shares guaranteed in his earlier deal, would leave Musk with 25% ownership of Tesla's stock. As of early November, Tesla stock was trading approaching its annual peak, at approximately $450 per stock.

Lofty Goals

During a decade, Musk will be obligated to manufacture 20 million EVs to consumers, market 10 million live FSD memberships, develop and sell 1 million bipedal machines, and deploy 1 million robotaxis in commercial service.

Musk will also be tasked to bring the corporation to $400 billion in tangible revenue for four consecutive quarters. Tesla's tangible revenue for the third quarter of 2025 were $4.2 billion, 9 percent lower from the year before.

As of November, Musk's fortune was pegged at $460 billion, the leading in the globe, based on market tracking.

Reinstating a Revoked Package

Shareholders are additionally considering a plan that would reward Musk after his earlier remuneration deal was voided by a court in Delaware. The pay plan, estimated to be $56 billion, was disputed by a sole shareholder who prevailed in court. The Delaware court of chancery rejected Musk's pay package on multiple instances. Should investors pass the proposal in Thursday's vote, Musk is set to be paid the massive amount whether or not Tesla and Musk win an appeal of the case.

Following Musk's earlier remuneration deal was initially invalidated, he transferred Tesla's legal headquarters to Texas from Delaware. He followed suit with the rocket firm and other business entities. In last year, under Texas law, shareholders once again approved the compensation plan.

But Delaware's often referred to as "court of equity" for a second time ruled against one of the biggest CEO pay deals in modern history. In the wake of that unfavorable ruling, Musk posted on his accounts to voice displeasure with the state and its "influential presiding justice", possibly igniting a series of corporate exits that Delaware officials have tried to stop with new laws.

In considering whether Musk had undue influence in being given that previous compensation plan, a respected legal scholar remarked that the court noted that other "high-profile executives" like Meta's Mark Zuckerberg and the Amazon founder were not given this kind of goal-oriented agreements.