Tech Desk 
Aug 04, 2025
Besides being in headlines and a global sensation, Elon Musk also stays on people's "makes me wonder" list about his compensation package from Tesla, something Tesla's board of directors has recently announced.
The Tesla CEO's new salary package has been valued at approximately $29 billion in shares, with the company citing the “ever-intensifying AI talent war and Tesla’s position at a critical inflection point” as reasons for this enormous payout.
This huge pay package will be allocated through a 2019 Equity Incentive Plan already approved by shareholders, which means it will not require a vote, according to a regulatory filing and Ann Lipton, a professor at the University of Colorado Law School.
Tesla plans to present a “longer-term CEO compensation strategy” for a vote at the upcoming annual shareholder meeting in November.
Musk’s new compensation plan could be dismissed if the Delaware Supreme Court overturns a January 2024 ruling that nullified his previous $56bn compensation package because of undisclosed negotiations.
Musk has threatened to cease work on AI and robotics at Tesla unless he gains more control over the company.
Another startling aspect of the new package is that it involves giving Musk 96 million shares, which will be conferred in two years, depending on his continuation of a senior leadership role at Tesla.
