Tesla's High-Level Approval for Musk: 878 Billion Dollars!

Tesla Shares Rise

Tesla CEO Elon Musk achieved a major victory with shareholders approving a payment package of up to $878 billion over the next decade. This decision supports Tesla's vision of transforming from an electric vehicle manufacturer to a powerhouse in artificial intelligence and robotics technologies.

Shares rose by approximately 2% during the last trading hours. The proposal was accepted with support of over 75%. According to analysts, this vote is considered a positive development for Tesla's stock. Musk is determined to increase the company's value with plans to make vehicles autonomous, expand robotaxi services across the U.S., and sell humanoid robots.

Nevertheless, Musk's far-right political rhetoric has harmed the Tesla brand this year. However, Musk's ability to exercise full voting rights with his 15% stake was expected as a result of Tesla's move from Delaware to Texas. This helped him overcome a legal battle that had prevented a previous salary increase.

The approval was granted despite opposition from some major investors, including Norway's sovereign wealth fund. Tesla management had indicated that Musk might resign if this payment package was not approved.

The vote will alleviate investors' concerns about Musk's focus being distracted by politics and other ventures, such as rocket manufacturer SpaceX and artificial intelligence startup xAI. The management board and many supporting investors say this nearly $1 trillion package will benefit shareholders in the long run, as Musk must achieve certain important targets for Tesla to benefit from the payout.

Among Musk's goals for the next decade are delivering 20 million vehicles, launching 1 million robotaxis, selling 1 million robots, and achieving core profitability of up to $400 billion. However, Musk's salary requires Tesla's market value to rise from $1.5 trillion to $2 trillion and ultimately to $8.5 trillion.

Under the new plan, Musk could earn up to $878 billion from Tesla shares over the next 10 years. Musk can acquire shares worth up to $1 trillion, but he will need to make some repayments.