To retain the billionaire at the company, Tesla has given Elon Musk $29 billion (£21.7 billion) worth of its shares. His 2018 compensation package, valued at over $50 billion, was declared “unfair to shareholders” by a US court, which prompted the action.
Musk has been contesting the Delaware court’s 2024 ruling, and Tesla assured shareholders on Monday that it was “confident” that the $29 billion in shares “will incentivize Elon to remain at Tesla,” particularly given that “the war for AI talent is intensifying.
Tesla’s board posted on Musk’s platform, X, that “it is imperative to retain and motivate our extraordinary talent, beginning with Elon.” They added that “no one matches Elon’s remarkable combination of leadership experience and technical expertise.”
The billionaire, according to the corporation, has a “proven track record” of creating innovative and successful companies. Tesla claimed that Musk would lose or return the most recent share award to prevent a “double dip” if the Delware court upheld his 2018 compensation agreement. The board of the automaker expressed anticipation that its CEO will be given the $56 billion agreement, the most extensive compensation package in corporate America’s history.
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