Tesla plans to pay Musk $1tn – do they really need him that much?


The potential reward for Musk is as astronomical as his vision for space travel.

With $1 trillion you could buy 20 million Model Y Teslas, at around $50,000 each. Or you could buy yourself a $10m house every day for 250 years, and still have change for furnishing and decorating.

The conditions appear to be very testing, including delivering 20 million Tesla vehicles and one million robots. A million self-driving Robotaxi vehicles will also need to be on the roads.

Tesla’s overall market value will need to rise from its current $1.4tn to $8.5tn.

These are “incredibly high milestones”, says Ann Lipton, a law professor at the University of Colorado.

However, the board does have “discretion” to decide when some of them have been met, she adds.

“If intervening events prevent him from reaching the goals, the board can deem them met anyway.”

So the targets may not turn out to be quite as demanding as they appear.

There is also nothing in the terms, no constraint, that prevents Musk continuing to speak out about politics or anything else.

“Even after the pay package was proposed, he didn’t pull back from his political commentary,” adds Prof Lipton.

“So it seems to me that this pay package, whatever the goals are, however lofty they may be, they’re not going to inhibit him from involving himself in whatever matters he wants to be involved in.”


Leave a Reply

Your email address will not be published. Required fields are marked *