Elon Musk seized the conclusion of Tesla’s earnings call to warn shareholders about the influence of proxy advisory firms on his trillion-dollar compensation package. The urgent appeal came as investors prepare to cast their votes at the November 6 annual meeting in Austin.
Tesla’s quarterly earnings discussion had methodically covered advances in artificial intelligence, autonomous driving, and the Optimus robot program before Musk’s dramatic intervention. His interruption of standard proceedings revealed his deep concern that external advisors could undermine both his leadership and Tesla’s technological trajectory.
Musk’s argument focused on maintaining adequate voting control to guide Tesla’s ambitious initiatives while accepting appropriate shareholder oversight. He presented the compensation issue as crucial for protecting the company’s innovation agenda from what he characterized as misguided interference by advisors who lack technical understanding.
ISS and Glass Lewis became the focus of Musk’s sharpest criticism, with the CEO accusing them of issuing recommendations that don’t serve shareholder interests. His passionate language included references to the discomfort of building advanced robotics while facing potential removal based on advice he described as “asinine.”
The earnings call concluded with CFO Vaibhav Taneja defending the compensation structure’s alignment with investor value creation. Taneja emphasized that the board designed the package to ensure Musk receives payment only when shareholders achieve substantial returns, making repeated appeals for favorable votes from Tesla’s investor base.
