Elon Musk could become the world’s first trillionaire if he meets the goals set by Tesla, according to a plan revealed by the electric vehicle company he runs and in which he is the largest shareholder.
In its latest report, Tesla outlined the conditions of this incentive package, beginning the sentence with – yes, you read that right.
According to the plan, Musk must increase the company’s value from the current little over one trillion dollars to 8.5 trillion dollars in the next ten years. If he achieves such growth, the 54-year-old would receive new shares that would raise his stake in Tesla from almost 16 percent to more than 25 percent, bringing the wealth of the richest man in the world to more than two trillion dollars.
Estimates of Musk’s current net worth vary, but according to Forbes’ ranking of the world’s richest people, the fortune of the South African magnate amounts to 430.9 billion dollars. In second place is investor and Oracle co-founder Larry Ellison, with 272.3 billion dollars.
Tesla’s incentive plan was revealed in a filing to the United States (U.S.) Securities and Exchange Commission on Friday. It also recalls Musk’s 2018 package, which was approved by the shareholders’ assembly and with which he could receive a bonus of 55.8 billion dollars.
“The new program is designed to build on the success of the 2018 award, which ensured that Elon was paid only for achieved results and motivated to lead Tesla through a period of growth,” the company stated.
Tesla specified that the new plan includes profit targets that are 28 times higher than those from 2018, but also the delivery of new products, including putting a million robot taxis into operation.
As a kind of justification for Musk’s reward, Tesla added that if Elon fulfills all performance targets, his leadership will push Tesla to become the most valuable company in history. For comparison, a market value of 8.5 trillion dollars would be more than twice the current value of Nvidia, the chipmaker that is currently the most valuable company in the world.
