Tesla(US:TSLA) Guan Cha Zhe Wang·2025-09-06 01:30Core Viewpoint - Tesla has proposed a new compensation plan for CEO Elon Musk with a potential value of up to $1 trillion, aimed at incentivizing his leadership and achieving ambitious performance targets [1][2]. Group 1: Compensation Plan Details - The new compensation plan is designed to motivate Musk to lead Tesla for several more years, focusing on the development of the nascent autonomous taxi business and increasing the company's market value from approximately $1 trillion to at least $8.5 trillion [1]. - The initial value of the CEO reward is reported to be $87.8 billion, which could increase to about $1 trillion if Musk meets all performance targets and receives all restricted stock [3]. - Musk's potential additional shares could raise his ownership stake to at least 25%, aligning with his long-term goal for greater control over the company [2]. Group 2: Historical Context and Board's Perspective - Musk previously had a compensation plan approved in 2018 valued at over $50 billion, which was rendered invalid by a Delaware court ruling [2]. - The Tesla board has been seeking ways to compensate Musk, including a temporary stock award of approximately $30 billion offered in early August [2]. - The board acknowledges Musk's public persona attracts significant attention, but they believe it does not detract from his focus on Tesla's leadership [2]. Group 3: Strategic Focus and Future Plans - The new plan includes measures to ensure Musk remains focused on Tesla's business development while also promoting growth in emerging markets such as robotics and artificial intelligence [2]. - A non-binding shareholder proposal in the proxy statement suggests Tesla consider acquiring shares in Musk's AI company, xAI [2].