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Investors in the electric car maker gathered on Thursday to vote on a massive remuneration plan for the company's leader estimated at close to $1 trillion. If approved, this plan would demonstrate shareholder trust that the entrepreneur can guide the car company into an era dominated by machine learning and automation. If denied, Tesla could risk the loss of a pioneering CEO who previously established the corporation interchangeable with zero-emission cars.

Historic Targets and Market Capitalization

Upon reaching the ambitious milestones outlined in the remuneration deal presented at Tesla's corporate assembly, he could become the world's first person with a trillion-dollar net worth. To accomplish this, he must lead Tesla to a astronomical $8.5 trillion in market capitalization, which is 800% of its existing market cap. Additionally, he will be required to deploy countless self-driving cars and humanoid robots, while sustaining the corporate profits in the hundreds of billions in the upcoming decade.

Compensation Structure

The main goals of the pay package, organized into twelve stages, outline a path for Tesla to reach its enormous valuation. Upon achievement, Musk would be in a position to benefit from an extra 12% of the firm's equity. For this to occur, he must stay committed with the company for at least 7.5 years. He will also help develop a future leadership strategy for the organization he has managed for over 20 years. The stock options offered by the latest pay package, alongside shares assured in his 2018 package, would result in Musk with 25% ownership of Tesla's equity. In early November, Tesla equity was priced close to its 52-week high, at around $450 per share.

Formidable Objectives

Over the course of a decade, Musk will be required to manufacture 20 million EVs to consumers, distribute 10 million active full self-driving subscriptions, create and distribute 1 million advanced androids, and launch 1 million robotaxis in commercial service.

Musk will furthermore be obligated to increase the corporation to $400 billion in tangible revenue for four straight quarters. Tesla's actual earnings for the third quarter of 2025 were $4.2 billion, down 9% from the same period last year.

As of November, Musk's fortune was valued at $460 billion, the top in the world, based on financial data.

Reinstating a Rescinded Deal

Investors are also considering a arrangement that would reward Musk after his 2018 compensation plan was voided by a judicial body in Delaware. The remuneration deal, worth an estimated $56 billion, was disputed by a single stockholder who prevailed in court. The Delaware judicial system denied Musk's remuneration deal on two occasions. If shareholders approve the plan in Thursday's vote, Musk is expected to be granted the huge sum whether or not Tesla and Musk overturn the ruling of the legal matter.

Following Musk's previous compensation plan was initially invalidated, he moved Tesla's corporate home out of Delaware and into Texas. He did the same with his aerospace company and other companies' headquarters. In the previous year, according to Texas regulations, shareholders again approved the pay package.

But Delaware's often referred to as "judicial body" for a second time rejected one of the largest CEO compensation packages in contemporary business. After that negative decision, Musk took to social media to show frustration with the state and its "prominent judicial figure", possibly igniting a wave of business departures that Delaware lawmakers have sought to curb with regulatory measures.

In considering whether Musk had excessive control in being awarded that previous compensation plan, a noted legal scholar observed that the judicial authority acknowledged that other "celebrity leaders" like Meta's Mark Zuckerberg and the Amazon founder were not given this kind of goal-oriented agreements.