Investors supported Musk's compensation plan of $1 trillion

• Tesla shareholders approved a compensation plan for Musk worth $1 trillion.
• Musk is required to achieve certain targets in order to receive the payout.
• The decline in Tesla's stock triggered a reduction in Musk's stake by $10 billion.

At a recent shareholders' meeting of Tesla, held on November 7, 2025, a compensation plan for CEO Elon Musk was approved, which could potentially net him $1 trillion over the next decade. The majority of shareholders, over 75%, supported this initiative, despite criticism from some major investors.

The plan stipulates that Musk receives additional company shares if he meets ambitious targets, including raising Tesla's market capitalization to $8.5 trillion and producing 20 million vehicles. The value of Tesla's shares fell by 3.6% following the announcement of this plan, which led to a reduction in Musk's stake by $10 billion.

According to analysts' assessments, such targets are extraordinarily ambitious, but many investors believe that Musk can achieve them. Some experts, such as Dan Ives from Wedbush Securities, emphasize that Musk is a unique entrepreneur, and his presence at Tesla is critically important for its future.

Despite the challenges related to his political views and criticism from consumers, shareholders continue to support Musk, hoping for his ability to realize the company's ambitious plans.

Tags: Economy/Technology