Elon Musk, leader of Tesla, poised to achieve a staggering fortune of $1 trillion.
Elon Musk, the visionary entrepreneur behind Tesla, has announced plans to significantly increase his stake in the company, aiming for a 25% or more ownership. This move comes as Musk seeks a new compensation package and voting control, threatening to take his AI and robotics ventures elsewhere if his demands are not met.
The current market capitalization of Tesla, as of September 2025, stands at approximately $1.277 trillion. To bring Elon Musk's total compensation package to one trillion dollars at current stock prices, Tesla's market cap would need to mirror or exceed this amount. This suggests that Tesla is already operating in this financial magnitude, a testament to its market success.
However, Musk's divided attention has not always been beneficial for Tesla. Whenever he devotes more time and energy to other companies, it has negatively impacted shareholder confidence in Tesla. This year, Tesla's fortunes have taken a hit due to aging products, falling sales globally, regulatory changes, political turmoil, and increased competition in the EV market.
Musk's involvement in politics, particularly his support for U.S. president Donald Trump, has caused schisms among consumers. His stance on political matters has been a contentious issue, adding another layer of complexity to his role at Tesla.
In a proposal, Tesla is considering taking a stake in xAI, a company owned by Musk. This move could potentially strengthen Tesla's position in the AI and robotics sector, aligning with Musk's current interests.
Amidst these developments, Musk is also expected to work with the board on a succession plan. This is crucial, as retaining and incentivizing Elon Musk is fundamental to Tesla achieving its goals, according to a shareholder letter.
Musk's businesses, including Tesla, SpaceX, xAI, Neuralink, and the Boring Co., have a history of interdependence. He often uses equity from one business to fund another, a strategy that has been instrumental in the growth of his ventures.
As Musk navigates these challenges, it remains to be seen how his increased stake in Tesla, his role in the company, and his future plans will shape the future of the electric vehicle giant.
