Tesla shareholders approve a performance pay plan worth up to $1 trillion

On 6 November 2025, Tesla shareholders voted — roughly 75% in favour — to approve a new compensation plan for Elon Musk that could be worth up to about $1 trillion, the largest in corporate history. Crucially, it is entirely performance-based: Musk receives nothing unless Tesla hits a ladder of twelve demanding milestones.

Those tranches require staggering achievements — taking Tesla's market capitalisation toward $8.5 trillion, reaching huge profit targets, delivering 20 million vehicles, and putting millions of Robotaxis and Optimus robots into service. If none are met, the package pays zero; investors only "pay" by getting vastly richer first.

Supporters argue the structure aligns Musk's incentives with shareholders to an unprecedented degree and keeps the founder focused on Tesla through its riskiest bets in AI and robotics. The strong shareholder approval, despite opposition from some advisory firms, was a clear vote of confidence in his leadership.