Shareholders approved the pay package on Thursday with up to 75 percent support.
Published November 6, 2025
Tesla CEO Elon Musk scored a big victory after shareholders approved a compensation package of up to $878 billion over the next 10 years, supporting his vision to transform the electric vehicle (EV) maker into an AI and robotics juggernaut.
Tesla shares rose more than 3% in after-hours trading after Thursday’s shareholder vote. The proposal was approved with over 75% support.
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Musk took to the stage in Austin, Texas, with a group of dancing robots. “What we’re embarking on now is not just a new chapter in Tesla’s future, it’s a whole new book,” he said. “This is going to be a really big deal.”
He added: “Other shareholder meetings are like snooze fests, but ours is a bonanza. I mean, look at this. This is awful.”
Shareholders also re-elected three directors to Tesla’s board of directors and voted in favor of an alternative pay plan for Mr. Musk’s services, after a previous package was blocked by legal challenges.
Analysts said the vote was positive for Tesla’s stock, saying that even though Musk’s far-right political rhetoric has hurt the Tesla brand this year, the company’s reputation rests on his vision of self-driving cars, rolling out robotaxis nationwide and selling humanoid robots.
Musk’s victory had been widely expected after the automaker moved from Delaware to Texas, where the billionaire was given full voting rights for his roughly 15% stake, after legal challenges had previously blocked his pay increases.
The approval came despite opposition from some major investors, including Norway’s sovereign wealth fund.
Tesla’s board had said Musk could resign if the pay package was not approved.
The vote could also allay investor concerns that the company is losing focus due to Mr. Musk’s political activities and other companies, including rocket maker SpaceX and artificial intelligence startup xAI.
The board and many investors who have expressed support say the nearly $1 trillion package will benefit shareholders in the long run because Musk needs to ensure Tesla hits a series of milestones in order to receive compensation.
Musk’s goals for the next 10 years include delivering 20 million vehicles, operating 1 million robotaxis, selling 1 million robots and generating $400 billion in core profits. But for him to receive his reward, Tesla’s stock price would first have to rise from its current $1.5 trillion to $2 trillion, then to $8.5 trillion.
Under the new plan, Musk could earn up to $878 billion from Tesla stock over 10 years. Mr. Musk will be given up to $1 trillion in stock, but he will have to repay some of it to Tesla.
