Tesla is locking in Elon Musk with a jaw-dropping new compensation plan worth approximately $29 billion, the electric vehicle giant revealed Monday in a fresh regulatory filing. The package includes 96 million restricted stock units and was officially greenlit by Tesla’s board on Sunday.
This bold move comes just months after a Delaware court struck down Musk’s controversial $56 billion 2018 pay deal, ordering its cancellation earlier this year. Musk, never one to back down, appealed the ruling in March. By April, Tesla responded by forming a special committee to reevaluate the billionaire’s compensation structure.
According to tech industry expert Dan Ives of Wedbush Securities, the updated pay package is more than just a paycheck… it’s a strategic play to cement Musk’s leadership at Tesla through the decade’s end.
“This new stock award removes major uncertainty and ensures Musk remains at the helm of Tesla until at least 2030,” Ives noted. “It’s a crucial move as Tesla shifts into its next chapter, laser-focused on AI innovation and growth.”
With Tesla aiming to become a dominant force in artificial intelligence and robotics, keeping Musk engaged is key. This compensation deal not only satisfies investors’ concerns but also energizes Tesla’s mission to revolutionize the tech and auto industries.
