Tesla has unveiled a staggering $1 trillion pay package for CEO Elon Musk, but many of the milestones tied to the deal are significantly less ambitious than the promises Musk has made in the past. The proposal, revealed in the company’s annual proxy statement, positions Tesla’s board as aiming to create “the most valuable company in history.” Yet critics argue the revised goals are watered-down versions of Musk’s own bold predictions that often failed to materialize.
One of the biggest examples is Tesla’s long-touted production target. Musk once promised the company would produce 20 million electric vehicles annually by 2030. Under the new plan, however, the benchmark has been lowered to 20 million vehicles total by 2035. Given that Tesla has already sold around eight million cars, with annual sales now under two million amid slowing growth, the new goal reflects a tempered outlook for the company’s future.
The package also revisits Musk’s long-delayed robotaxi vision. Back in 2019, Musk predicted one million autonomous Teslas would hit the roads by 2020. In reality, Tesla has only begun testing a small robotaxi fleet in Austin, Texas. Under the new deal, Musk must achieve an average of one million robotaxis in commercial operation—a far cry from his earlier “flip-a-switch” promise of turning customer cars into self-driving taxis.
Tesla’s board also tied the package to the company’s push into robotics. Musk has championed the Optimus humanoid robot, at times claiming Tesla could build one million units per year by 2029. But the compensation plan simply asks for one million robots total by 2035. The company has admitted commercialization plans are still in development, underscoring how much this goal relies on long-term speculation rather than short-term certainty.
Perhaps the most ambitious financial requirement is for Tesla to hit an $8.5 trillion valuation and grow annual earnings to around $400 billion, compared to $17 billion last year. While previous Musk pay packages seemed unrealistic and were eventually met, this new deal blends audacious ambitions with scaled-back promises. Shareholders will vote on the proposal in November, and with Tesla’s loyal fan base, approval is highly likely. For Musk, the plan represents both a second chance to prove his vision—and a more grounded roadmap to becoming the world’s first trillionaire CEO.
Source: Techcrunch