During Tesla’s earnings call, Elon Musk issued a challenge to shareholders to choose between supporting his leadership or following proxy advisor recommendations against his trillion-dollar compensation package. The stark challenge came ahead of the decisive November 6 vote in Austin.
Tesla’s quarterly earnings presentation had addressed the company’s advances in AI technology, autonomous vehicles, and the Optimus humanoid robot before Musk’s intervention. His decision to frame the vote as a choice between himself and proxy advisors demonstrated his conviction that their recommendations fundamentally oppose his vision for Tesla.
Musk articulated his position that sufficient voting control is necessary to protect Tesla’s strategic direction while accepting appropriate shareholder oversight. He presented the compensation issue as crucial for continuing ambitious projects in robotics and artificial intelligence without facing removal based on external recommendations.
The CEO directed his sharpest criticism toward ISS and Glass Lewis, suggesting these proxy advisory firms lack understanding about Tesla’s business model and technological objectives. Musk’s passionate denunciation included references to building a “robot army” and concerns about ouster based on what he termed “asinine” advice.
CFO Vaibhav Taneja wrapped up the controversial call by emphasizing the performance-based nature of Musk’s pay package. The CFO stressed that the board designed the compensation to ensure Musk receives nothing unless shareholders see substantial returns, making multiple requests for approval from investors.