Tesla Inc. shareholders today approved a $1 trillion compensation plan for Chief Executive Elon Musk, which would considerably increase the wealth of the world’s richest person if he meets shareholders’ expectations.

During Tesla’s annual general meeting today, when it was announced that 75% of investors had given the thumbs up to the future paycheck for Musk (pictured), the audience broke out in raucous applause. Though the announcement has met with criticism in some quarters, the board has said it couldn’t afford for Musk to leave the company.

Not all investors gave their approval of the package, but it appears most believe that Musk will deliver in a world that will soon be dominated by robotics and artificial intelligence. What the board wants to achieve is somewhat ambitious: It would like to see Tesla’s current $1.4 trillion market value increase to $8.5 trillion over the next decade.

As his discussion with podcaster Joe Rogan recently outlined, Musk is hoping the future will feature omnipresent Tesla robotaxis. He even hinted at a flying car, soon to be unveiled, although it’s highly unlikely that flying cars will become consumer items anytime soon. More realistically, Tesla hopes to have 10 million paid subscribers to the company’s self-driving software. The company’s Optimus robot, which Musk also sees as Tesla’s future, has just gone into mass production.

Soon after the announcement, Musk took to the stage as his name was chanted. “What we’re about to embark upon is not merely a new chapter of the future of Tesla, but a whole new book,” he told the crowd. “Other shareholder meetings are snoozefests, but ours are bangers. Look at this. This is sick,” he added.

For many Americans, “sick” might take on another meaning. The deal comes as economic inequality reaches new highs in the U.S., where more and more Americans are venting their frustrations with the cost of living and the expanding wealth gap. Still, for those who voted for the package, Musk is the key to future success.

“Those who claim the plan is ‘too large’ ignore the scale of ambition that has historically defined Tesla’s trajectory,” the Florida State Board of Administration said in a securities filing, explaining the reason for support of the plan. “A company that went from near bankruptcy to global leadership in EVs and clean energy under similar frameworks has earned the right to use incentive models that reward moonshot performance.”

Ark Invest CEO Cathie Wood wrote on X that she didn’t understand why some investors were against the plan. “I do not understand why investors are voting against Elon’s pay package when they and their clients would benefit enormously if he and his incredible team meet such high goals,” she said

Norwegian firm Norges Bank Investment Management, Tesla’s sixth-largest outside investor, explained why it wasn’t keen on the deal: “While we appreciate the significant value created under Mr. Musk’s visionary role, we are concerned about the total size of the award, dilution, and lack of mitigation of key person risk — consistent with our views on executive compensation.”

Tesla sales have dropped off considerably in Norway, while some investors may feel uncertain about Musk’s alliance with President Trump and the fact that his public-facing personality is polarizing and could potentially upset Tesla’s bottom line.

Photo: Gage Skidmore/Flickr