Elon Musk defends $1 trillion pay package: ‘I just don’t feel comfortable building a robot army here and then being ousted’

Core Viewpoint - Elon Musk is defending his proposed $1 trillion pay package from Tesla, emphasizing that it is more about retaining influence over the company's future rather than personal financial gain [1][3]. Group 1: Pay Package Details - The proposed pay package could award Musk up to $1 trillion in stock if he meets performance targets, including growing Tesla's market cap to $8.5 trillion, which represents a more than 500% increase from its current valuation [3]. - If approved, Musk's ownership stake in Tesla could increase from 13% to nearly 29% [3][5]. - The plan includes the delivery of 20 million Tesla vehicles and 1 million robotaxis in commercial operation as part of the company's growth strategy [5]. Group 2: Musk's Perspective - Musk expressed discomfort with the idea of being ousted from the company, referring to proxy advisory services as "corporate terrorists" for recommending rejection of the pay plan [2]. - He stated that the compensation is not intended for personal spending but to ensure he has a strong influence over Tesla's future developments, particularly in AI and robotics [4]. - Musk acknowledged that having voting control in the "mid-20s" percentage range would provide him with a strong influence while still allowing shareholders to maintain control [4]. Group 3: Board's Rationale - Tesla's board announced the pay plan in September, believing that Musk is the only person capable of leading the company through its critical growth phase [6]. - The board noted that the long-term performance award is designed to retain Musk and incentivize him to focus on ambitious goals that may seem impossible to others [6].