Elon Musk is set to receive a massive pay package worth around $29 billion from Tesla’s board of directors, despite the company facing significant challenges in recent times. The move comes after a Delaware court rejected Musk’s 2018 performance award for a second time due to shareholder lawsuits.
Musk’s compensation package includes 96 million shares of Tesla stock, each valued at over $300. However, he will have to pay a significant amount, around $23.34 per share, to purchase these shares. The board members Robyn Denholm and Kathleen Wilson-Thompson stated that despite legal challenges, Musk has delivered transformative growth for the company.
However, Tesla’s struggles continue, with shares falling 25% this year and sales declining sharply. Musk recently shifted his focus from politics to AI and robotics, aiming to transform the company. Despite this, many shareholders have expressed concerns about his involvement in politics, which has impacted Tesla’s performance.
Musk is currently appealing the court’s order, but Monday’s pay package keeps him at the helm of the struggling company. The board members believe that Musk’s unique vision and leadership will help Tesla transition towards becoming a leader in AI, robotics, and related services.
Source: https://edition.cnn.com/2025/08/04/business/elon-musk-pay-package