Tesla CEO Elon Musk has won the largest corporate settlement package in history. More than 75% of shareholders approved Musk’s plan, supporting his vision to transform the electric vehicle giant into a force in the fields of artificial intelligence and robotics.
Musk could receive up to $1 trillion in shares over the next decade. However, the net worth of the settlement after the settlement will be around $878 billion. Tesla management emphasized that this package was critical to keeping Musk at the company.
Appearing on stage with dancing robots at the general assembly in Austin, Texas, Musk said, “We are starting a new book in Tesla’s future.” He also announced that production of the driverless robotaxi “Cybercab” would begin in April and that the new Roadster sports car would be introduced.
Shareholders also approved investment in Musk’s artificial intelligence startup xAI. However, some major investors have called for more oversight to mitigate the risk of conflicts of interest between companies. The new payment plan is contingent upon Musk achieving massive targets such as producing 20 million vehicles and selling 1 million robotaxis and robots. Tesla’s market value needs to rise from $1.5 trillion to $8.5 trillion. If Musk achieves all targets, he will receive $1 trillion worth of shares, equivalent to 12% of the company. However, how this record-breaking plan will shape Tesla’s future remains the biggest question for investors.
