Tesla has thrown down an audacious challenge to Elon Musk: grow the company to a valuation of $8.5 trillion, a figure that dwarfs even the largest tech giants of today. This target, the cornerstone of a new trillion-dollar pay proposal, would require Musk to make Tesla more valuable than behemoths like Apple and Nvidia currently are combined.
The incentive plan, which requires shareholder approval, is a bet on Musk’s ability to defy market expectations and lead Tesla through another period of meteoric growth. If he succeeds, his reward would be a tranche of shares increasing his stake to over 25% and making him the world’s first trillionaire, with a net worth surpassing $2 trillion.
This goal seems almost fantastical when placed in context. An $8.5 trillion valuation is a monumental leap from Tesla’s current $1 trillion mark. It implies a sustained level of growth and market dominance that has never been achieved in history. The plan effectively asks Musk to not just lead a car company, but to build the most valuable enterprise the world has ever known.
The package is structured to be all-or-nothing, meaning Musk gets no award if he doesn’t hit key milestones, the first of which is doubling the company’s value. This aligns his interests with shareholders, who would see immense gains themselves. The proposal is a testament to the board’s belief that Musk is the only leader capable of turning such a speculative vision into a financial reality.