Tesla shareholders approve Elon Musk's trillion-dollar pay package
Tesla shareholders have given their approval to a massive compensation package for Elon Musk that could ultimately earn him up to one trillion dollars in Tesla stock. The decision was confirmed at the company’s annual shareholder meeting on November 6, 2025, with roughly 75% voting in favor.
Conditional Structure of the Package
The approved plan stipulates that Musk will receive no regular salary. Instead, he will gain access to stock options valued around one trillion dollars if Tesla achieves a set of ambitious goals within the next ten years.
- Raise Tesla’s market capitalization from about $1.5 trillion to more than $8.5 trillion.
- Meet other performance metrics linked to company growth and profitability.
Industry Context and Comparison
For perspective, Nvidia, currently the most valuable company worldwide and a key player in the AI market, has a capitalization of $4.83 trillion. Its CEO, recognized as essential to the company’s rise, earns approximately $50 million annually and owns 3.5% of Nvidia.
Musk’s Current Wealth
Elon Musk is already among the richest individuals on the planet, with an estimated net worth of $460 billion, according to Bloomberg’s Billionaires Index. Much of this fortune stems from Tesla’s share price, now around $465 per share — over 400 times higher than during its 2010 IPO.
Previous Compensation Dispute
A prior compensation deal valued at $55.8 billion was previously challenged in court. A judge ruled the board had been overly aligned with Musk, leading to a prolonged legal dispute over that package.
“Tesla shareholders have overwhelmingly approved a pay package of extraordinary proportions for Elon Musk, passing the measure with 75% of the vote.”
Author’s Summary
Tesla investors backed a record-breaking compensation plan that could make Elon Musk the first trillion-dollar CEO, contingent on Tesla reaching an $8.5 trillion market cap.