Tesla says Musk should be paid $1tn – will shareholders agree?
Ahead of Tesla’s annual general meeting (AGM) on Thursday there’s been one key message the electric car-maker has been hammering home to shareholders: the boss is worth $1tn.
It has taken out digital ads to make the case for Elon Musk’s proposed bumper pay package, while Votetesla.com features a video of board chair Robyn Denholm and director Kathleen Wilson-Thompson praising him, as triumphant music crescendos in the background.
It’s not clear that everyone is singing from the same hymn sheet though, meaning the AGM in Austin, Texas is set to become a referendum on Musk himself, after a rightward political turn which has made him one of the most polarising chief executives in recent memory.
Musk himself has taken to X – which he owns – to raise the stakes higher still, saying the fate of Tesla “could affect the future of civilization.”
He’s also used his social media megaphone to amplify some of the deal’s high-profile backers, including Dell Technologies’ Michael Dell, Ark Invest CEO Cathie Wood, and his brother, Kimbal, who sits on the Tesla board.
“There is no one remotely close to my brother,” Kimbal said, extolling his sibling’s leadership qualities.
“Thanks bro ❤️,” Musk replied.
Not everyone agrees.
For some, the focus on Musk and the soap opera around his pay is symptomatic of how the car firm – which has seen sales slide – has lost its way under his leadership.
“What’s amazing to me is a company struggling to sell cars spends money on advertising to sell a pay package,” said Ross Gerber, CEO of Gerber Kawasaki Wealth and Investment Management.
Mr Gerber has pared back his Tesla holdings in recent years – and turned up his criticism of the direction it’s heading in.
“[Tesla] needs to change the focus of the company back to its core – to selling EVs again,” he said.
