- Tesla has just unveiled a monster new pay package for CEO Elon Musk.
- The proposed compensation deal could be worth as much as $1 trillion.
- It features a set of ambitious milestones for Musk, including taking Tesla's market cap to $8.5 trillion by 2035.
Tesla has just unveiled a massive new pay package for Elon Musk.
The proposed compensation plan, which the EV giant outlined in an SEC filing on Friday, could net Musk as much as $1 trillion if he can hit a series of ambitious milestones that includes taking Tesla to a $8.5 trillion market cap by 2035.
In addition to adding an extra $7.5 trillion in market value — which would make Tesla twice as valuable as Nvidia — the proposed pay package is contingent on Tesla delivering 20 million cars and one million of its Optimus robots over the next decade.
Musk would also need to put 1 million robotaxis on the road, and boost the number of subscribers to Tesla's Full Self-Driving service by 10 million.
The Tesla CEO would have to grow the company's earnings before interest, taxes, depreciation, and amortization to $400 billion over the next 10 years, up from $16.6 billion last year.
The compensation plan, which will now be voted on by Tesla shareholders at the company's annual meeting in November, comes after Musk's previous pay package was struck down by a Delaware judge last year.
Tesla has appealed the judgment against the $46.8 billion pay package. Last month, the company's board awarded Musk $29 billion worth of shares as an interim performance award.
Musk has frequently said he should be granted more voting control over Tesla, and hinted that he could spend less time on or even leave the EV giant if he doesn't.
The new giant pay package comes as Tesla grapples with a global sales slump, fuelled in part by backlash over its billionaire CEO's political interventions. The company's share price is down 16% so far this year.
Tesla could not immediately be reached for comment.
