Musk on the attack on Tesla's governance, wants to count double
The tycoon wants to get to 25 per cent. Alternatively, he could develop the AI elsewhere. But the board awaits a ruling on a previous maxi award
3' min read
3' min read
Elon Musk is aiming to weigh more heavily in the shareholder balances to strengthen his grip on Tesla in view of the development of artificial intelligence. The volcanic entrepreneur would not feel comfortable, he explained, in growing the world's most capitalised carmaker into a leader in AI and robotics, without counting for at least 25 per cent, almost double his current stake, which is worth around USD 90 billion.
In a post on the social media platform X, of which he is the owner, Musk said that in the event that he did not get "enough shares to count" and avoid a takeover, he would prefer to continue producing "innovative products" outside of the electric vehicle manufacturer. In July, the South African-born entrepreneur had also told analysts that Tesla would invest more than a billion over the course of 2024 in the Project Dojo, aiming decisively to develop autonomous driving.
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"One does not realise," Musk wrote to justify his lobbying the board for a new remuneration plan, "that Tesla is not worth a startup, but a dozen. Just look at the gap between Tesla's assets and GM's. As for share ownership as sufficient motivation, Fidelity and others (investors, ed.) own shares similar to mine. Why don't they show up for work?"
These statements were written by Musk in response to a user's statement on X: 'Elon owns 411 million Tesla shares. Is that not enough incentive for Tesla to do well in the years to come? His $100 billion today will become $1 trillion if Tesla overtakes Saudi Aramco and Apple. So why another plan in its favour?".
Musk, 52, owns about 13 per cent of Tesla's shares (according to Factset) after selling about 40 billion in stock in 2022, in part to help finance the 44 billion purchase of Twitter.
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