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Elon Musk Set to Become the World’s First Trillionaire After Tesla’s Historic $1 Trillion Payout

Elon Musk Set to Become the World’s First Trillionaire After Tesla’s Historic $1 Trillion Payout

Tesla’s shareholders have reaffirmed their loyalty to Elon Musk, approving a monumental compensation package worth more than any corporate payout to date.

Key Takeaways
  • Over 75% of Tesla shareholders backed Elon Musk’s new compensation plan.
  • The package could raise Tesla’s valuation target to $8.5 trillion within a decade.
  • Critics argue the deal gives Musk excessive control despite ongoing challenges. 

The decision, reached through a shareholder vote on Thursday, gives Musk stronger control over Tesla at a time when the automaker faces slowing demand, political controversy, and intensifying competition.

Under the approved plan, Musk could gain over 423 million additional shares, potentially boosting his ownership from 15% to 25%. To unlock the full award, he must achieve steep performance milestones — including pushing Tesla’s market capitalization from $1.5 trillion to $8.5 trillion within ten years and delivering millions of robotaxis, humanoid robots, and self-driving vehicles.

Investor Divide Over Tesla’s Direction

While the results will be officially recorded in an upcoming SEC filing, the outcome reflects both admiration and anxiety surrounding Musk’s leadership. Several large investors — including Norway’s sovereign wealth fund and multiple U.S. pension systems — voted against the proposal, citing concerns over governance and accountability.

Despite this opposition, Tesla’s board argued that the package was critical to retain Musk, who they say remains vital to the company’s transformation into a robotics and AI-driven enterprise.

A Win After Legal and Strategic Setbacks

The vote marks a comeback for Tesla’s leadership after a Delaware court voided Musk’s previous $50 billion deal last year, ruling that the board had acted without sufficient independence. Tesla has since appealed that decision and moved its legal headquarters from Delaware to Texas — another shareholder-approved move meant to consolidate Musk’s influence.

Tesla’s board now hopes the new structure will allow Musk to focus on high-tech projects without further legal uncertainty, particularly as the company pivots from being primarily a car manufacturer to a leader in artificial intelligence and automation.

Challenges Cloud Tesla’s Grand Vision

Despite Musk’s bold ambitions, Tesla’s fundamentals have weakened in recent quarters. The long-delayed Cybertruck failed to meet expectations, and the company’s robotaxi initiative in Austin still requires human safety monitors. Meanwhile, Chinese competitors continue to erode Tesla’s market share, and the end of the U.S. federal EV tax credit is expected to weigh further on sales.

Political controversies have also taken a toll. Musk’s close ties to President Donald Trump and his involvement in government restructuring initiatives have sparked widespread protests and hurt Tesla’s brand perception among key demographics.

Can Musk Deliver His Futuristic Promises?

Tesla’s leadership insists the company is nearing a new era driven by robotics and automation — with Musk positioned as the visionary capable of delivering it. Yet critics warn that the gulf between promise and reality remains wide. Investors have now given Musk unprecedented power to close that gap, and the next decade will determine whether his ambitions turn Tesla into a $8.5 trillion powerhouse or remain an expensive experiment in overconfidence.


The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

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Reporter at Coindoo

Kosta joined the team in 2021 and quickly established himself with his thirst for knowledge, incredible dedication, and analytical thinking. He not only covers a wide range of current topics, but also writes excellent reviews, PR articles, and educational materials. His articles are also quoted by other news agencies.

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